Flow Capital Partners plans to tokenize its $150 million private credit fund using Singapore-based DigiFT, Bloomberg reported. The Hong Kong credit manager aims to put the fund on the blockchain by the end of April and seeks to raise an additional $30 million in tokenized shares by the end of 2026, Jacky Tian, Flow Capital’s chief investment officer, said.
The $30 million tokenized raise is intended to help expand the fund to $250 million, with a target net return of 12%. The fund launched in mid‑2025 with $125 million in seed capital, the company says. Cointelegraph has contacted Flow Capital and DigiFT for comment.
The move reflects a broader push to use tokenization as a distribution channel for traditional credit products. Large TradFi firms have pursued similar initiatives: BlackRock launched its BlackRock USD Institutional Digital Liquidity Fund (BUIDL), a tokenized treasury fund on Ethereum, in March 2024, and JPMorgan rolled out its tokenized money‑market My OnChain Net Yield Fund (MONY) on Ethereum in December 2025.
Industry figures caution that tokenization does not automatically create liquidity for illiquid assets. Oya Celiktemur, sales director for Europe at Ondo Finance, said tokenizing an illiquid asset does not “magically make it a liquid asset,” remarks made at Paris Blockchain Week 2026. Francesco Ranieri Fabracci, head of tokenization expansion at Tether, echoed that tokenization alone won’t create liquidity, though he noted that some instruments—bonds, money‑market funds and stablecoins—may see steadier blockchain liquidity.
Data from RWA.xyz shows the total value of tokenized assets rose 9.6% over the past 30 days to $29.9 billion. Tokenized U.S. Treasury debt is the largest sector at $13.7 billion, followed by commodities at $5.4 billion and asset‑backed credit at $3.2 billion.
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