Blockchain firm Newton Labs said on October 14 that Hong Kong-based investment firm L2 Capital plans to tokenize US$500 million in late-stage tech and AI holdings on Newton’s planned platform.

L2 Capital aims to complete the tokenization within within 24 months of the platform’s launch.

Newton is building the platform for private and public market holdings, with access limited to eligible institutional and professional investors in licensed jurisdictions. It would let eligible investors hold these positions onchain and use them as collateral in permitted decentralized finance lending markets.

Newton said the platform would check every supported transfer, loan, or other action against a fund manager’s rules before settlement, rather than rely only on checks at issuance or wallet whitelists.

In Hong Kong, the Securities and Futures Commission said security tokens are treated as securities under the existing regulatory regime and issued guidance for licensed intermediaries handling tokenized securities.

🔗 Source: Newton Labs