Hong Kong-based Flow Capital Partners plans to bring a $150 million private credit fund onchain, signaling how asset managers are increasingly turning to blockchain as a distribution and capital-raising channel.
According to Bloomberg, the firm will tokenize the fund through Singapore-based platform DigiFT, with the launch expected before the end of April.
Tokenization Tied to Fundraising and Distribution Strategy
Flow Capital launched the private credit fund in mid-2025 with about $125 million in seed capital and is targeting a 12% net return. The firm now plans to raise an additional $30 million by issuing tokenized shares, showing that the move is directly linked to capital formation rather than a test initiative.
By placing fund shares onchain, Flow Capital aims to widen investor access and streamline settlement processes while maintaining the underlying structure of the private credit vehicle. The approach reflects a broader shift among asset managers that now view blockchain infrastructure as a practical tool for distribution, rather than an experimental layer.
Chief investment officer Jacky Tian said the firm intends to scale the fund to $250 million by 2026, indicating confidence in both the credit strategy and the tokenized model.
Institutional Momentum Drives Growth in Tokenized RWAs
Flow Capital’s move comes as tokenized real-world assets continue to attract institutional interest, particularly across instruments such as private credit, bonds, and money market funds. Major financial institutions have already entered the space, including BlackRock, which launched a tokenized Treasury fund in 2024, and JPMorgan, which followed with a tokenized money-market product in 2025.
Market data reflects this growing adoption. According to RWA.xyz, trackable onchain real-world assets are currently valued at $29.92 billion, representing a 9.64% increase over the past 30 days, with more than 728,000 holders.
US Treasury debt dominates the sector at $13.74 billion, while commodities account for $5.39 billion, highlighting investor preference for yield-generating and relatively stable asset classes.
Despite this growth, tokenization does not fundamentally alter the liquidity profile of private credit, which remains relatively illiquid. However, Flow Capital’s decision to bring an active fund onchain underscores a deeper shift, where blockchain is increasingly used to expand access, improve efficiency, and support capital raising in traditional finance.
