Citigroup has launched a blockchain platform for wealthy and institutional clients to trade tokenized shares of private companies, tapping into high demand for pre-IPO access. The product, called "Digital Depositary Receipts," runs on infrastructure from SIX Digital Exchange and aims to simplify private market investing. The move is part of a broader Wall Street push into tokenization, a market Citi projects could reach $5.5 trillion by 2030.
Citi tokenized private-equity platform launch
- ▪The new product is called "Digital Depositary Receipts," allowing investors to gain exposure to private company shares through blockchain-based securities
- ▪Citigroup launched a blockchain-based platform for its wealthy and institutional clients to trade tokenized shares of private companies
- ▪The platform's first transaction involved Kaleido, a digital asset and tokenization company backed by Citi Ventures
- ▪The Citigroup platform is initially open only to foreign investors, with plans to make it available to U.S. investors at a later date
SDX blockchain infrastructure partnership
- ▪The partnership between Citigroup and SIX Digital Exchange was first announced in May 2025
- ▪The platform's underlying blockchain infrastructure is provided by SIX Digital Exchange (SDX), a subsidiary of Switzerland's stock exchange operator, SIX Group
- ▪Under the partnership, Citigroup acts as a custodian and tokenization agent on the SIX Digital Exchange (SDX) digital Central Securities Depositary (CSD) platform
Citi tokenization product stack
- ▪Citigroup, along with JPMorgan and other large U.S. banks, plans to build a shared tokenized deposit network through The Clearing House, targeting a mid-2027 launch
- ▪In 2023, Citigroup piloted its Token Services product, which converted customer deposits into digital tokens on a private blockchain for near-instant transfers
Private-market tokenization precedents
- ▪In 2025, OpenAI publicly cautioned investors that tokenized stocks offered by firms like Robinhood did not represent equity in the company
- ▪Robinhood Markets and the firm Republic have previously offered tokenized shares of private companies like OpenAI and SpaceX
- ▪As a precedent, KKR partnered with Securitize to tokenize an interest in its $4 billion Health Care Strategic Growth Fund II
Tokenized securities market projections
- ▪Supporters of tokenization say the technology could reduce settlement times, lower costs, and allow financial markets to operate around the clock
- ▪The platform was launched amid high investor demand for pre-IPO access, as many fast-growing companies are taking longer to go public
- ▪A June 2026 Citigroup research report projected the global tokenized securities market will reach $5.5 trillion by 2030
- ▪In a 2023 report, Citigroup forecast that the tokenized securities market could reach $4 trillion by 2030, calling it a potential "killer use-case" for blockchain
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