Securitize Goes Public via SPAC, Partners with BNY Mellon

Securitize confirmed this week that it is in the process of going public through a blank-check company started by Cantor Fitzgerald, a major Wall Street investment bank. This strategic move comes alongside another significant development: a partnership with Bank of New York Mellon to bring collateralized loan obligations (CLOs) onto the blockchain. The simultaneous announcements represent a powerful convergence of traditional finance and blockchain technology, demonstrating how established financial institutions are increasingly leveraging crypto infrastructure for conventional financial products.

The partnership with BNY Mellon, one of the world’s largest custodian banks, provides crucial institutional credibility to the blockchain initiative. By bringing CLOs—complex structured credit products that bundle corporate loans—onto the Ethereum blockchain, Securitize and BNY Mellon are creating what could become a blueprint for how traditional Wall Street businesses migrate to digital infrastructure. This development follows a growing trend of major financial institutions exploring blockchain applications beyond cryptocurrency trading.

The centerpiece of the BNY Mellon partnership is the Securitize Tokenized AAA CLO Fund, which is dedicated exclusively to CLOs with top-notch credit ratings. These AAA-rated instruments represent the highest quality tier within the CLO market, offering investors enhanced security while maintaining the yield advantages that make CLOs attractive. The fund will be represented by tokens on the Ethereum blockchain, with BNY Mellon serving as custodian for the underlying assets.

This tokenization approach represents a significant innovation in how institutional-grade financial products can be structured and traded. By converting traditional CLO investments into blockchain tokens, Securitize aims to create greater liquidity, transparency, and accessibility for investors. The use of Ethereum, one of the most established blockchain platforms, provides a robust technical foundation while benefiting from the network’s extensive developer ecosystem and security features.

The custody arrangement with BNY Mellon addresses one of the critical concerns for institutional investors entering the digital asset space: secure asset protection. As one of the world’s premier custody banks, BNY Mellon brings decades of experience in safeguarding financial assets, providing institutional investors with the confidence needed to participate in blockchain-based financial products.

Securitize CEO Carlos Domingo discussed these developments on “Bloomberg Crypto,” highlighting the strategic importance of both the SPAC merger and the BNY Mellon partnership. His appearance on a major financial media platform underscores the mainstream attention these developments are receiving within both traditional finance and crypto circles. The leadership’s decision to pursue a public listing through Cantor Fitzgerald’s SPAC reflects confidence in the company’s growth trajectory and the broader market opportunity for tokenized assets.

The move represents another example of traditional Wall Street businesses migrating to systems originally built for cryptocurrency. This trend has accelerated in recent years as financial institutions recognize the efficiency, transparency, and operational benefits that blockchain technology can provide. The Securitize initiative specifically targets the $1 trillion global CLO market, suggesting substantial potential for blockchain disruption in established financial sectors.

For investors, the developments signal growing maturity in the digital assets space, with established financial institutions like Cantor Fitzgerald and BNY Mellon providing validation and infrastructure support. The combination of a public listing path and a major institutional partnership positions Securitize at the forefront of the tokenization movement, potentially setting the stage for broader adoption of blockchain technology across traditional finance.