Apollo Unveils Tokenized Private Credit Fund With Securitize on Multiple Blockchains

Apollo, a top investment firm managing over $730 billion in assets, has launched its first tokenized private credit fund in collaboration with blockchain security token specialist Securitize. The Apollo Diversified Credit Securitize Fund (ACRED) marks Apollo’s entry into on-chain offerings for accredited investors.

This fund is also Securitize’s first integration with the Solana blockchain and Kraken’s Ink layer-2 network. Additionally, it will be available on Ethereum, Aptos, Avalanche, and Polygon. The Apollo Diversified Credit Fund, which manages over $1.2 billion in assets, focuses on corporate direct lending, asset-backed finance, and diversified credit strategies. In 2024, the fund yielded an impressive 11.7% return, significantly outperforming the 4.5% yield of U.S. Treasuries.

Christine Moy, Apollo’s digital assets and AI strategy lead, emphasized that the fund's daily subscription and net asset value (NAV) structure align with blockchain’s efficiencies. She highlighted its role in enhancing on-chain portfolios alongside stablecoins, tokenized treasuries, and money market funds while mitigating exposure to crypto market volatility.

Tokenization of real-world assets (RWAs) is rapidly expanding in traditional finance, with blockchain-based U.S. Treasuries gaining liquidity. As of 2023, private credit assets under management surged to $2.1 trillion, quadrupling over the past decade. Securitize CEO Carlos Domingo noted the growing appeal of private credit as a high-yield alternative amid declining interest rates.

To enable a seamless multichain approach, Securitize is leveraging its partnership with Wormhole for cross-chain interoperability. Apollo has previously experimented with tokenized assets through Project Guardian, an initiative led by the Monetary Authority of Singapore (MAS) in collaboration with JPMorgan. Moy anticipates further exploration of DeFi and potential secondary liquidity for alternative assets.