Citi launches blockchain marketplace for private companies shares: Report

Citigroup launched a blockchain-based marketplace for trading tokenized depositary receipts of private company shares on March 18, 2024, according to a Reuters report. This initiative marks a significant step in Wall Street's increasing adoption of tokenized assets, allowing private companies to represent ownership stakes as digital tokens on a distributed ledger. The platform aims to enhance liquidity and accessibility for private equity investments, which have traditionally been illiquid. Citigroup's move is positioned to streamline the issuance, trading, and settlement processes for these digital securities, potentially opening new avenues for capital formation for privately held businesses. The development aligns with a broader trend across the financial industry towards exploring blockchain technology for traditional financial instruments.