Mubadala Capital to Launch $75M Tokenized Fund on Solana via Kaio

Mubadala Capital, an Abu Dhabi-based Sovereign Wealth Fund managing a $385B portfolio, is bringing a tokenized private market strategy fund onchain.

Having already attracted $75M in commitments, the fund is expected to be deployed on Solana, SUI, and Base. Tokenization and issuance of the fund will be handled by KAIO, a USE-based operator.

While the bulk of existing RWA activity is dominated by US-based assets, recent developments suggest that issuers are expanding their offerings to embrace global markets.

Kaio Brings Mubadala Capital Fund to Solana

In collaboration with KAIO, Mubadala Capital is bringing one of its private market strategies, the Alternative Solutions Fund (MCAS), onchain, deploying the tokenized fund on Solana, Base, and SUI.

According to KAIO, the fund has already amassed over $75M in commitments from both traditional and crypto-native backgrounds, with Coinbase reportedly adding an undisclosed investment in the fund to its balance sheet.

The fund marks Mubadala Capital’s first foray into the onchain economy, following in the footsteps of TradFi giants like BlackRock, Franklin Templeton, and Fidelity. According to Head Mubadala Capital Solutions Max Franzetti, deploying the fund onchain is expected to bring access and exposure to a much broader range of investors.

“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. Bringing it onchain extends that access to a new class of qualified investors without compromising the institutional discipline that defines how we invest.” - Max Franzetti, head of Mubadala Capital Solutions

Mubadaba’s MCAS becomes the fifth tokenized fund issued by KAIO, joining a range of similar products from TradFi heavyweights like BlackRock, Hamilton Lane, and Brevan Howard. At press time, KAIO’s self-reported TVL sits at over $143M, with MCAS representing the bulk of its AUM.

RWAs Go Global as xStocks Expands to APAC, UK 

Mudadaba’s MCAS launch comes as the onchain RWA economy begins to expand its geographic horizons. While the tokenized asset sector has enjoyed blistering growth in the past year, issuance has centered almost entirely around US-based assets. This is logical given the scope and scale of the U.S. equity market, but has so far left onchain traders sidelined in exotic and emerging markets.

However, recent revelations suggest the winds of change are blowing through Solana’s flourishing RWA sector. On July 22nd, Payward Inc, the parent company operating Kraken and its subsidiary RWA issuer, xStocks, announced its intention to begin tokenizing equities from a broader range of global markets, including Hong Kong, South Korea, the U.K. and Europe.

xStocks’ expansion outside U.S. markets is no doubt driven by surging demand for exposure to the memory and AI boom currently underway in Asian markets. Explosive and volatile dynamics in South Korean equity markets have attracted the attention of the world’s traders, who are now actively seeking to take advantage of inefficiencies in what analysts argue are over-leveraged and vulnerable positions.

Regardless of motive, the inclusion of non-US equity markets in the onchain economy is undoubtedly a step forward for Solana’s RWA economy. By definition, the promise of tokenization and internet capital markets is to provide access to global markets, enabling traders and investors to gain exposure to asset classes from all four corners of the financial world.

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