CITI has announced the launch of Digital Depositary Receipts on private shares, introducing a direct and transparent model that broadens access to private markets for both issuers and investors. The launch marks the first time a global financial services company is both issuing and acting as a custodian for tokenized depositary receipts representing private companies.
This new solution went live with an inaugural transaction between Kaleido, an institutional tokenization and digital asset platform and a Citi portfolio company, and investors within its Wealth business, with support from Citi’s Secondary Private Markets business.
Biswarup Chatterjee, head of Partnerships and Innovation for Citi’s Services business, said, “As private markets continue to grow, so has the need for diverse and trusted access points. Our Digital Depositary Receipts product is designed to provide superior client service, safeguard assets and facilitate capital markets activity with the same rigor that underpins traditional financial markets. The interoperability of the product will further enable Citi to support a wider range of issuers and investors as digital asset market infrastructure continues to evolve.”
Dirk Jones, head of Issuer Services for Citi’s Services business, said, “This launch marks an important milestone in the evolution of capital markets. As the first global financial services company to issue and act as custodian for tokenized depositary receipts representing private company shares, Citi is helping deliver a more transparent, scalable and institutionally robust model for investment in private companies. Our Digital Depositary Receipts are designed to reduce complexity, facilitate efficient capital formation and provide issuers and investors with a pathway to access new opportunities.”