Republic to Tokenize Equity in Web3 Giant Animoca Brands

Republic is set to tokenize equity in Animoca Brands, a major player in the Web3 space. This move aims to democratize access to Animoca Brands' shares for a wider range of investors globally.

Key Takeaways:

• Republic will tokenize equity in Animoca Brands, providing access to global investors.
• Shares will be issued on the Solana blockchain and traded on Republic’s marketplace.
• This initiative seeks to bring private market exposure to retail investors through blockchain technology.

Republic will mint digital tokens representing shares of Animoca Brands, allowing both retail and institutional investors to gain ownership through a blockchain-based structure. The tokenized equity will be issued on the Solana blockchain and distributed directly to user wallets. Trading will occur on Republic’s global marketplace, ensuring regulatory compliance.

Animoca Brands, with its impressive portfolio of over 600 Web3 investments including The Sandbox, Axie Infinity, and OpenSea, has previously had limited equity accessibility primarily through over-the-counter markets. This tokenization aims to introduce a more efficient and transparent investment method.

“This represents a meaningful development in the convergence of traditional finance with blockchain-based solutions,” stated Andrew Durgee, Co-CEO of Republic. “It sets a precedent for how companies can structure equity for the future.”

Republic aims to expand access to private markets globally and has deployed over $3 billion across 2,500 companies.

Lily Liu, President of the Solana Foundation, noted that tokenizing Animoca Brands' equity on Solana showcases what Internet Capital Markets can enable – fast, global access to private company ownership.

RWA Tokenization's Potential

Animoca Brands' researchers suggest that tokenization of Real-World Assets (RWAs) could unlock a staggering $400 trillion traditional finance market. They highlighted the vast growth potential within private credit, treasury debt, commodities, stocks, alternative funds, and bonds.

Some estimates predict the market for tokenized RWAs to reach $16 trillion by 2030. Tokenized U.S. Treasuries alone are projected to hit $4.2 billion this year.

Institutional interest in tokenization is accelerating, as major banks, asset managers, and blockchain firms explore it for enhanced yield and liquidity management.