Citi launches tokenized shares for private markets

Citigroup has introduced Digital Depositary Receipts, a blockchain-based product designed to provide wealthy and institutional investors with access to private company equity. This innovative structure adapts traditional depositary receipts for the private market, recording them on blockchain infrastructure operated by SIX, with Citi serving as both issuer and custodian. The bank views this as a significant step in its broader strategy to tokenize traditional financial assets, with plans to expand the offering to public blockchains as the market evolves. This move addresses the growing demand for private market investments and the increasing trend of companies staying private longer.