Hamilton Lane Breaks Ground as First Asset Manager to Launch Fund on Solana Blockchain

Hamilton Lane, an alternative investment management firm, has made history by unveiling the first private credit fund on the Solana blockchain. Investors can now access the asset manager’s Senior Credit Opportunities Fund (SCOPE) on Solana (SOL), marking Hamilton Lane as the inaugural major investment manager to deploy its funds on this blockchain network.

Hamilton Lane Collaborates with Libre

In a recent press release, Hamilton Lane disclosed that this milestone achievement is a result of a partnership with Libre, a Web3 protocol backed by Brevan Howard and Nomura. This collaboration enables Hamilton Lane to utilize the technology offered by the Web3 protocol to issue and distribute its funds on-chain.

Nick Ducoff, the head of institutional growth at Solana Foundation, emphasized the significance of integrating and launching SCOPE on the blockchain as a pivotal step towards democratizing finance. This move aims to make institutional finance more accessible to a broader range of investors beyond the traditional focus on high-net-worth individuals.

Blockchain Adoption on the Rise for Real-World Assets

The joint effort by Hamilton Lane and Libre reflects a broader trend among global investment giants leveraging blockchain technology to tokenize funds. This shift has led to the emergence of a substantial market where real-world assets (RWAs) are being brought on-chain, including initiatives by BlackRock, the world’s largest asset manager.

According to Ducoff, on-chain RWAs encompass various traditional securities such as private funds, money market funds, and exchange-traded funds (ETFs). Additionally, RWAs cover financial assets like private credit and tokenized real estate.

Role of Libre and Solana in Tokenization

Libre provides the necessary infrastructure for firms to tokenize these RWAs, offering benefits such as trading and collateralized lending services. On the other hand, Solana stands out as a “low latency” network with high throughput capabilities, making it an attractive choice for companies seeking tokenization solutions.

It is worth noting that Hamilton Lane had previously tokenized its SCOPE fund on Securitize, a U.S.-based digital securities issuance platform. Securitize serves as the transfer agent and broker-dealer for BlackRock’s BUIDL, a tokenized money market fund that reached a market cap of $500 million within just four months of its launch.

Overall, the collaboration between Hamilton Lane, Libre, and Solana marks a significant milestone in the evolving landscape of blockchain adoption within the realm of asset management, paving the way for greater accessibility and efficiency in financial markets.