Flow Capital Plans $150M Private Credit Fund Tokenization

TLDR

• Flow Capital plans to tokenize its $150 million private credit fund through DigiFT in Singapore.
• The company aims to raise $30 million in tokenized shares by the end of 2026.
• Flow Capital launched the fund in mid 2025 with $125 million in seed capital.
• The firm targets a net return of 12% as it seeks to expand the fund to $250 million.
• BlackRock and JPMorgan have also introduced tokenized funds on Ethereum.

Hong Kong-based credit manager Flow Capital plans to tokenize its $150 million private credit fund, according to Bloomberg. The firm will use Singapore-based DigiFT to place fund shares on blockchain rails before the end of April. The company aims to raise $30 million in tokenized shares by the end of 2026, the report said.

Flow Capital Targets $30 Million Raise Through DigiFT

Flow Capital will migrate its existing $150 million private credit fund onto DigiFT’s tokenization platform in Singapore. The company seeks to secure $30 million through tokenized shares as part of its next capital raise. Jacky Tian, chief investment officer at Flow Capital, confirmed the plan to Bloomberg.

Tian said the $30 million forms part of a broader expansion strategy for the fund. The firm plans to increase the fund size to $250 million over time. The fund targets a net return of 12%, according to the company’s stated objectives.

Flow Capital launched the private credit fund in mid 2025 with $125 million in seed capital. The firm now plans to use blockchain infrastructure to support distribution efforts. Cointelegraph contacted Flow Capital and DigiFT for comment, but they have not responded.

The move reflects growing interest in blockchain-based issuance for traditional credit funds. DigiFT operates from Singapore and provides tokenization services for regulated financial products. Flow Capital will complete the tokenization process before the end of April, Bloomberg reported.

Tokenization Growth Expands Across Traditional Finance

Several traditional finance firms have introduced tokenized investment products on public blockchains. BlackRock launched the BlackRock USD Institutional Digital Liquidity Fund on Ethereum in March 2024. JPMorgan introduced its My OnChain Net Yield Fund on Ethereum in December 2025.

Industry executives continue to address assumptions about tokenized asset liquidity. Oya Celiktemur of Ondo Finance said tokenization does not automatically create liquidity for illiquid assets. She said, “I think there’s still this idea that tokenizing something illiquid will somehow magically make it a liquid asset, which is just not true.”

Francesco Ranieri Fabracci, head of tokenization expansion at Tether, echoed similar views during Paris Blockchain Week 2026. He said tokenizing an asset does not guarantee liquidity in secondary markets. However, he added that bonds, money market funds, and stablecoins may maintain steady liquidity on blockchain rails.

Data from RWA.xyz shows total tokenized assets reached $29.9 billion on Friday. The market value increased 9.6% over the past 30 days, according to the platform. Tokenized US Treasury debt leads the sector with $13.7 billion in value.

Commodities rank second with $5.4 billion in tokenized value on blockchain networks. Asset-backed credit follows with $3.2 billion, based on RWA.xyz figures. The data reflects the latest available figures for tokenized real-world assets.

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