Spiko Claims World's Largest Tokenized Fund
The French fintech says SAFO, within the UCITS framework and through BNP Paribas and Amundi, puts it ahead of BlackRock and Circle. Spiko is also expanding to London and is cautiously eyeing the U.S.
Key Takeaways
- Spiko says it managed $2.39 billion in its SAFO fund at the end of October, making it the world's largest tokenized fund.
- The fund grew by about 30% per month over the past three months and now has more than 10,000 investors.
- Spiko is expanding to London; a possible move into the U.S. market is mentioned, but nothing concrete yet.
Spiko says it now manages the world's largest tokenized fund. The French fintech company said it had about $2.39 billion (€2.1 billion) in assets under management at the end of October in its flagship fund, the Spiko Amundi Overnight Swap Fund (SAFO), and says that puts it ahead of funds from Circle and BlackRock.
Rapid Growth in October
According to Spiko, the fund grew by about 30% per month over the past three months. The number of investors rose by about 18% per month over the same period, to more than 10,000 legal entities and individuals. The company also raised $90 million in October at a valuation of about $800 million (€713 million).
The SAFO fund structure was launched seven months ago in partnership with BNP Paribas and Amundi. Spiko offers blockchain-based money market funds within the European Union's UCITS framework, which governs the issuance and cross-border sale of retail funds.
Europe and the Institutional Market
Tokenized cash equivalents, such as highly liquid Treasury bills, have recently become more important for institutional crypto investors. Big names like BlackRock and Franklin Templeton have drawn attention to blockchain-based funds, while BlackRock has now launched 12 tokenized fund classes in Europe based on six money market funds. The broader market for tokenized stocks and funds is also getting more attention as regulators roll out new frameworks for blockchain-driven products, such as tokenized stocks on blockchain.
Spiko CEO Paul-Adrien Hyppolite said the company is less well known than some U.S. competitors because of its French roots. He previously worked at the French treasury and founded Spiko in June 2023. According to him, there is still plenty of room in Europe for tokenized money market funds, because they still make up only a small part of the market there compared with regular bank deposits.
Expansion Beyond France
Spiko is meanwhile expanding to London. The SAFO fund is registered with the U.K. FCA, and London is now the main office location alongside Paris, according to Hyppolite. A possible move into the U.S. market is also mentioned, but nothing concrete has been announced yet and any expansion could only follow next year.