Securitize has partnered with Mantle Ecosystem to launch an institutional-grade digital asset product

The leading real-world assets (RWA) platform, Securitize, has partnered with Mantle Ecosystem to launch an institutional-grade digital asset product

Securitize, a leading real-world assets (RWA) platform, has partnered with Mantle Ecosystem to launch an institutional-grade digital asset product known as Mantle Index Four (MI4) Fund. The product is designed to provide global allocators with professionally managed, regulated, and potentially yield-enhanced exposure to top crypto assets.

As part of the launch, Mantle Treasury has committed $400 million as the fund’s anchor investment, further cementing MI4 Fund’s role as a foundational building block for on-chain asset management and advancing the next generation of institutional digital asset products.

The initiative aligns with the burgeoning demand from allocators for sophisticated digital asset products that offer the same level of professionalism, regulation, and service as traditional institutional funds.

The MI4 and associated future products will become the de facto SPX or S&P 500 of crypto – our basket of the major cryptocurrencies aims to capture all capital on chain looking for smart beta with income and is a set-it-and-forget-it solution for institutions without the complexities of direct custody.

The MI4 Fund is expected to provide exposure to a diversified basket of digital assets, including bitcoin, ethereum, and solana, weighted by market cap and risk-adjusted. It will also provide exposure to USD stablecoins or synthetic dollars.

The fund employs a quarterly rebalancing schedule and incorporates staking methods like Mantle’s mETH, Bybit’s bbSOL, and Ethena’s USDe to boost returns via DeFi yields while maintaining regulatory adherence and investor safeguards.

The fund shares are expected to be issued and transferable on the Securitize Open Chain, a tokenized securities platform that enables efficient and cost-effective issuance, trading, and management of digital securities.

“We are excited to partner with Securitize to launch this innovative fund product. At Mantle, we are constantly striving to introduce cutting-edge solutions that cater to the evolving needs of the institutional community. This fund is a testament to our commitment to providing efficient and sophisticated financial products that empower global allocators with seamless access to the digital asset ecosystem.

With MI4 Fund, we aim to redefine the landscape of institutional investing by fusing the strengths of DeFi and centralized finance (CeFi) to create a truly unique and valuable offering. We believe that MI4 will become the primary index fund in the cryptocurrency industry, comparable to the S&P 500 in the equities market.

Our basket of the major cryptocurrencies aims to capture all capital on-chain looking for smart beta with income and is a set-it-and-forget-it solution for institutions without the complexities of direct custody. MI4 provides a lower-maintenance and potentially higher-yielding alternative to self-managed nodes or liquid coins. It’s a product that solves problems and provides solutions.”

The fund is expected to be launched in Q2 2024, pending any necessary regulatory approvals.

Investors will be able to use the fund shares as on-chain collateral and access available liquidity. Such flexibility gives investors a product that mirrors the best of traditional finance while delivering the full potential of tokenized securities.

“We are delighted to partner with Mantle to launch this groundbreaking institutional-grade digital asset product. At Securitize, we are constantly innovating to provide investors with the next generation of investment vehicles that combine the best of DeFi and CeFi.

This fund is a testament to our commitment to expanding the possibilities of tokenized securities and offering investors seamless access to the digital asset ecosystem.

We are confident that MI4 Fund will be a valuable addition to any investor’s portfolio and will set a new standard for institutional digital asset products in the years to come.”

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