Key Takeaways
- • SkyBridge Capital, managing over $2 billion in assets under management, is tokenizing $300 million of its hedge fund holdings on the Avalanche blockchain in partnership with Tokeny and Apex Group.
- • The tokenization initiative enables fractional ownership and tradable shares of hedge fund assets on-chain, reducing traditional barriers to entry and liquidity constraints for institutional investors.
- • Apex Group has integrated SkyBridge's funds into its infrastructure alongside Tokeny's enterprise tokenization platform, establishing what the parties describe as a new benchmark for real-world asset (RWA) tokenization.
- • The deal represents a significant institutional validation of blockchain infrastructure for alternative asset management and signals accelerating adoption of security token issuance among established hedge fund operators.
- • The transaction demonstrates Avalanche's positioning as a preferred network for institutional-grade tokenization, with the ecosystem having secured multiple major RWA partnerships over the preceding year.
Summary
SkyBridge Capital has announced a partnership with infrastructure provider Apex Group and tokenization platform Tokeny to tokenize $300 million of hedge fund assets on the Avalanche blockchain. The deal, announced in August 2025, represents one of the largest institutional tokenization initiatives to date and underscores the maturation of blockchain infrastructure for traditional finance use cases.
Under the arrangement, Apex Group has integrated SkyBridge's funds into its enterprise infrastructure alongside Tokeny's tokenization technology, enabling the seamless issuance of digital security tokens representing claims on the underlying hedge fund portfolios. The parties have positioned this partnership as setting "a new benchmark for real-world asset tokenization" in the institutional space. SkyBridge, which manages more than $2 billion in assets under management, initially planned to tokenize approximately $300 million across its product suite.
Tokenization of hedge fund shares addresses persistent structural challenges in the traditional fund industry, including illiquidity, high minimum investment thresholds, and settlement friction. By converting fund shares into blockchain-based securities, the initiative enables fractional ownership, direct peer-to-peer transferability, and settlement on-chain—theoretically reducing operational overhead and broadening institutional access. Tokeny and Apex Group have positioned their combined offering as an enterprise-grade solution suitable for regulated financial institutions and professional investors.
The transaction carries strategic significance for Avalanche's ecosystem positioning. Over the preceding twelve months, Avalanche had secured multiple institutional partnerships across real-world asset tokenization, including this SkyBridge engagement. The announcement reflects broader institutional appetite for blockchain infrastructure capable of handling substantial asset volumes while meeting regulatory and operational requirements. Additional concurrent tokenization initiatives—such as Grove's deployment of up to $250 million in tokenized credit and Treasury instruments on similar infrastructure—indicate accelerating institutional migration toward on-chain asset management.
Under the arrangement, Apex Group has integrated SkyBridge's funds into its enterprise infrastructure alongside Tokeny's tokenization technology, enabling the seamless issuance of digital security tokens representing claims on the underlying hedge fund portfolios. The parties have positioned this partnership as setting "a new benchmark for real-world asset tokenization" in the institutional space. SkyBridge, which manages more than $2 billion in assets under management, initially planned to tokenize approximately $300 million across its product suite.
Tokenization of hedge fund shares addresses persistent structural challenges in the traditional fund industry, including illiquidity, high minimum investment thresholds, and settlement friction. By converting fund shares into blockchain-based securities, the initiative enables fractional ownership, direct peer-to-peer transferability, and settlement on-chain—theoretically reducing operational overhead and broadening institutional access. Tokeny and Apex Group have positioned their combined offering as an enterprise-grade solution suitable for regulated financial institutions and professional investors.
The transaction carries strategic significance for Avalanche's ecosystem positioning. Over the preceding twelve months, Avalanche had secured multiple institutional partnerships across real-world asset tokenization, including this SkyBridge engagement. The announcement reflects broader institutional appetite for blockchain infrastructure capable of handling substantial asset volumes while meeting regulatory and operational requirements. Additional concurrent tokenization initiatives—such as Grove's deployment of up to $250 million in tokenized credit and Treasury instruments on similar infrastructure—indicate accelerating institutional migration toward on-chain asset management.
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