Flow Capital tokenizes $150M fund

Flow Capital Partners plans to offer tokenized shares of its $150 million private credit fund on DigiFT by the end of April, putting an Asia-focused lending strategy onto a blockchain platform. (bloomberg.com) Bloomberg reported the Hong Kong-based manager will use Singapore-based DigiFT for the launch, and Chief Investment Officer Jacky Tian said the firm wants to raise another $30 million in tokenized shares. (bloomberg.com) Flow Capital launched the fund in mid-2025 with about $125 million in seed capital, according to reports, and is targeting a 12% net return while working toward a $250 million fund size by the end of 2026. (financefeeds.com) Private credit is lending done outside public bond markets, usually through funds that make loans directly to companies. Tokenization means the fund shares are recorded as blockchain-based securities instead of only in a traditional fund ledger. (digift.io) DigiFT says it holds a Capital Markets Services license and Recognised Market Operator status from the Monetary Authority of Singapore, which lets it handle issuance, distribution, and trading of tokenized securities and fund units. (digift.io, eservices.mas.gov.sg) The pitch for managers is speed and distribution: blockchain rails can keep ownership records on a shared ledger and make transfers between approved investors easier to process. The pitch for investors is access to products that were usually sold through private placements and fund paperwork. (digift.io, financefeeds.com) Flow Capital is entering a market that has grown quickly but is still concentrated in a few categories. RWA.xyz lists tokenized U.S. Treasuries as the largest segment, while tokenized credit is a smaller but established category on its platform. (rwa.xyz, app.rwa.xyz/credit) Other institutions have already moved pieces of traditional finance onchain. Franklin Templeton says its BENJI platform tokenized the Franklin OnChain U.S. Government Money Fund, and RWA.xyz lists BlackRock’s BUIDL fund at about $2.42 billion in total asset value. (digitalassets.franklintempleton.com, app.rwa.xyz/assets/BUIDL) J.P. Morgan is building similar plumbing from the bank side through Kinexys, which it describes as blockchain infrastructure for payments, assets, and fund operations. That puts Flow Capital’s deal inside a broader push to move fund administration and settlement onto shared digital rails. (jpmorgan.com) What tokenization does not do is change the underlying asset: investors still own exposure to a private credit fund, with the same credit, liquidity, and fund-structure risks that come with private lending. Flow Capital’s test now is whether putting those shares onchain brings in new buyers before its 2026 fundraising deadline. (financefeeds.com, app.rwa.xyz/credit)