Securitize, renowned for broadening access to tokenised alternative assets, has officially acquired Onramp Invest, a digital asset wealth platform.
The essence of this takeover is game-changing. For the first time, RIAs can instantly introduce their clientele to leading alternative asset categories, such as private equity, private credit, and secondaries, all via the familiar Onramp Invest dashboard.
This move paves the way for RIAs to further diversify their managed investments, benefiting from existing reporting systems. Moreover, it provides them a gateway to Securitize’s exquisite alternative investment collection, presenting opportunities like institutional share classes from elite alternative asset managers, lower entry investments, reduced fees, and enhanced liquidity access.
Digging deeper into the companies, Onramp Invest stands out as a pioneer in the digital asset wealth platform space, crafted meticulously for visionary financial experts. Its platform integrates flawlessly with current RIA tech systems like Orion and Wealthbox and offers top-tier market research through its academy and groundbreaking partners. Onramp’s community boasts of RIAs in the U.S. that represent an impressive $40bn in collective AUM. They have affiliations with esteemed asset managers in the digital asset domain, such as WisdomTree and CoinDesk.
Highlighting the immense business value rooted in private market alternative investments, these are investments beyond the conventional stocks and bonds on public platforms. Thanks to this acquisition, RIAs can now present their clients with enticing, liquid alternative investment classes.
Securitize CEO Carlos Domingo expressed, “Our acquisition of Onramp is another big step forward in expanding investor access to top-performing alternative assets and in democratising private capital markets. Most wealth is generated in private market alternative assets and bringing Securitize and Onramp together enables registered investment advisors to give their clients access to that wealth generation.”
Sharing the sentiment, Eric Ervin, Founder and CEO of Onramp Invest, commented, “More advisors would choose alternatives for their clients because the benefits are clear, but challenges like illiquidity and restricted access were previously significant problems to overcome. Tokenisation will be a major player in the investment space, and it’s imperative that all financial professionals are able to embrace this change.”
In the backdrop, a partnership was announced between Securitize and Onramp in March, enabling its RIA members to tap into private equity feeder funds from investment behemoths KKR and Hamilton Lane. Furthermore, Securitize’s venture into issuing tokenised securities in Europe made headlines last month.
With its core goal of bridging investors with businesses for capital raising, Securitize has its shares securely registered on prime blockchains like Ethereum and Polygon.
As the road ahead unfolds, Onramp is set to function as a subsidiary under Securitize’s umbrella, gradually embedding Securitize products into its current offerings. The official closure of this transaction is predicted in the upcoming days, though the precise terms remain undisclosed.
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