ABU DHABI’S $430B MUBADALA CAPITAL TAPS KAIO TO TOKENIZE PRIVATE EQUITY

Updated
Dec 12, 2025 7:42 AM
News Image

ABU DHABI – Mubadala Capital, the asset management arm of Abu Dhabi’s sovereign investor, has announced a strategic partnership with blockchain infrastructure firm Kaio to tokenize its private equity funds.

The collaboration will utilize Kaio’s regulated digital framework to move private market investment strategies onto the blockchain. The initiative is designed to address longstanding structural limitations in private equity investing by leveraging distributed ledger technology.

Digitizing a $430 Billion Ecosystem

Mubadala Capital, which manages an ecosystem of over $430 billion in platform assets, is deploying Kaio’s infrastructure to streamline the investment lifecycle. The partnership focuses on three primary operational improvements:

  • Liquidity: Tokenization enables the creation of a secondary market for fund interests. This allows investors to trade positions and exit investments more easily, reducing the traditional 7–10 year lock-up periods associated with private equity.
  • Access: The platform utilizes fractional ownership to lower minimum investment thresholds. This structure opens access to a broader range of qualified investors who were previously priced out of institutional-grade funds.
  • Efficiency: Smart contracts will be used to automate administrative processes. This includes streamlining capital calls, distributions, and compliance checks, replacing manual paperwork with automated digital workflows.

Infrastructure and Compliance

Kaio (formerly Libre Capital) is providing the underlying technological rails for the project. As a regulated infrastructure provider, Kaio’s platform is designed to ensure all on-chain assets remain compliant with KYC (Know Your Customer) and AML (Anti-Money Laundering) regulations.

The partnership marks a significant entry of sovereign capital into the on-chain asset market, utilizing a regulated framework to maintain governance standards while adopting blockchain automation.