Citi tokenized share offering for private equity via blockchain

Citi has launched a new tokenized share offering called “Digital Depositary Receipts” (DDRs), enabling wealthy and institutional investors to gain exposure to private company shares using blockchain-based securities. The structure adapts traditional depositary receipts to private markets. Citi issues and holds the depositary receipts, while recording the securities on blockchain infrastructure operated by Swiss market operator SIX. Investors own the receipt rather than the underlying private shares directly. Citi says DDRs are designed to be simpler and more transparent than some existing private-market access models, which can involve special-purpose vehicles and multiple intermediaries. The product debuted through a transaction involving Kaleido, a tokenization company backed by Citi Ventures and investors in Citi’s wealth management business. This launch fits Citi’s broader push to tokenize traditional financial assets. Tokenization—representing real-world assets like stocks and deposits as digital tokens—could eventually reduce settlement times, lower costs, and support near 24/7 market activity. Citi also previously announced plans to build a shared tokenized deposit network through The Clearing House by mid-2027, converting traditional bank deposits into blockchain-based tokens while keeping funds inside the regulated banking system. For now, Citi’s tokenized share offering runs on SIX infrastructure, but Citi plans to expand over time, potentially including public blockchains to widen access. For traders, this reinforces the “institutional tokenization” theme, though it is focused on regulated custody and private equity access rather than on liquid crypto markets.