Etherealize Raises $40M to Pioneer Ethereum Tokenization

Etherealize has raised $40 million in a Series A round led by Electric Capital and Paradigm, with participation from Ethereum co-founder Vitalik Buterin and the Ethereum Foundation. Founded in January 2025 by ex-Ethereum Foundation developer Danny Ryan and led by CEO Vivek Raman with Wall Street veterans, the startup provides institutional infrastructure for Ethereum tokenization, including asset tokenization, on-chain credit, stablecoin settlement, automated compliance and zero-knowledge privacy layers. Etherealize has engaged with regulators such as the SEC, the White House Crypto Council and the U.S. Treasury, positioning itself as the commercial partner to the Ethereum Foundation. The new funding will accelerate product development, regulatory engagement and strategic partnerships to scale Ethereum tokenization across Layer 1 and Layer 2, targeting multi-trillion-dollar Wall Street markets.
Bullish
This funding round led by major crypto investors and backed by Ethereum’s co-founder signals strong institutional interest in Ethereum tokenization infrastructure. In the short term, announcements of large capital inflows and regulatory engagement tend to boost trader sentiment and trading volumes for ETH. Over the long term, the development of on-chain credit, stablecoin settlement and ZK privacy layers could drive sustained institutional adoption, reinforcing Ethereum’s position as a reserve blockchain and potentially supporting higher price levels.