CoinDesk
Mubadala Capital, the asset management arm of Abu Dhabi's sovereign wealth fund, has tokenized one of its private markets strategies for qualified investors, deploying it across Coinbase's Base network, Solana and Sui using infrastructure from UAE-based tokenization firm KAIO. The fund has already attracted roughly $75 million in onchain assets since launch, and Coinbase is taking exposure to it on its own corporate balance sheet, an early example of a publicly traded crypto-native firm investing in a tokenized private markets product. The size of that COIN investment was not disclosed.
Why it matters
Mubadala oversees about $430 billion in assets, putting it in the same league as BlackRock, Franklin Templeton, Apollo and the other major managers that have already put funds on blockchain rails over the past two years. Its move adds a sovereign-backed private markets player to a list that had been dominated by U.S. money market and Treasury products, expanding tokenization into higher-margin alternative strategies. Coinbase putting the fund on its own balance sheet is the more interesting signal: a regulated, publicly listed exchange treating a tokenized private fund as a treasury allocation validates the asset class in a way no third-party launch can.
Market impact
The launch lands as Wall Street firms are racing to size the opportunity. Citi projects tokenized securities at roughly $5.5 trillion by 2030, while Boston Consulting Group and Ripple put the broader tokenized asset market at $18.9 trillion by 2033. KAIO, the infrastructure provider behind this fund, says it now administers $144 million across clients including Hamilton Lane, Brevan Howard and Laser Digital, giving a read on how much of that forecast is already onchain. For Solana, Sui and Base, hosting a sovereign-backed product is the kind of institutional distribution that matters more for narrative than for near-term volumes.
Frequently asked questions
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What did Mubadala Capital launch?
Mubadala Capital, the asset management arm of Abu Dhabi's sovereign wealth fund, tokenized one of its private markets strategies for qualified investors using infrastructure from UAE-based firm KAIO.
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Which blockchains host the fund?
The tokenized fund is available on Coinbase's Base network, Solana and Sui, and has already attracted roughly $75 million in onchain assets since launch.
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Is Coinbase investing in the fund?
Yes. Coinbase is taking exposure to the fund on its own corporate balance sheet, an early example of a publicly traded crypto-native firm investing in a tokenized private markets product. The size was not disclosed.
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How big is Mubadala Capital?
Mubadala Capital oversees about $430 billion in assets, making it one of the largest sovereign-backed alternative asset managers to put a fund on blockchain rails.
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How large could tokenized assets grow?
Citi projects tokenized securities at roughly $5.5 trillion by 2030, while Boston Consulting Group and Ripple estimate tokenized assets across all classes could reach $18.9 trillion by 2033.
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