Mubadala Capital Launches Tokenized Fund with Coinbase's Support

Mubadala Capital, the asset management arm of Abu Dhabi’s sovereign wealth fund, has initiated a tokenized version of one of its private market investment strategies, aimed at qualified investors. This launch is powered by infrastructure from KAIO, a tokenization specialist based in the UAE.

The fund is available across several platforms, including Coinbase’s Base network, Solana, and Sui, and has already attracted around $75 million in onchain assets. Additionally, Coinbase is investing in this fund, marking a notable step for a publicly traded crypto company to enter the space of tokenized private market products.

This development aligns with a broader trend of major investment firms embracing tokenization, with others like BlackRock, Fidelity, and Invesco also creating or expanding tokenized fund offerings primarily focused on traditional assets like U.S. Treasuries and private credit. The growing acceptance of tokenization reflects the traditional finance sector's efforts to innovate fund management and access.

“This strategy was built on differentiated access — to deal flow, to co-investment, to a global network that most investors cannot reach on their own,” said Max Franzetti, head of Mubadala Capital Solutions. He emphasized that bringing the strategy onchain enables access to a broader class of investors while maintaining institutional standards.

Brett Tejpaul, head of Coinbase Institutional, noted that Coinbase’s investment in this fund illustrates increasing interest in regulated tokenized assets within their treasury holdings. He stated, “As regulated assets become programmable, they can become part of a broader onchain economy that is more transparent, composable and accessible to qualified investors in eligible jurisdictions.”

Moreover, this initiative contributes to the ambitions of the UAE, particularly Abu Dhabi and Dubai, to establish themselves as key players in the tokenized finance ecosystem. As the region develops regulatory frameworks for digital assets, there is a growing framework for banks and other financial institutions to explore tokenization across a variety of investment products.