Private financial giant Citi plans to digitize and trade shares of unlisted companies on the SIX Digital Exchange platform.
Citigroup Partners with SIX Digital Exchange to Tokenize Late-Stage Private Equities
Citigroup, a global financial services giant, has partnered with Switzerland's SIX Digital Exchange (SDX) to tokenize the equity of venture-backed, late-stage companies. The partnership, which operates within Switzerland's regulatory framework, aims to simplify and digitize a manual and paper-driven industry in private markets.
The collaboration leverages SDX’s regulated blockchain platform, which consists of a central securities depositary (CSD) and a marketplace. Citi will become a CSD member alongside several Swiss and international banks, with Standard Chartered already a member. SDX's infrastructure, in conjunction with Citi's technology, is intended to solve challenges in private markets for issuers and investors.
David Newns, Head of SDX, stated that this initiative is expected to generate strong investor interest. Marni McManus, Citi Country Officer & Head of Banking for Switzerland, Monaco & Liechtenstein, echoed this sentiment, highlighting the potential for the partnership to create new opportunities for liquidity and investment while maintaining regulatory compliance.
The partnership between Citi and SDX represents a significant step toward modernizing private market transactions for late-stage private companies. It is part of Citigroup’s effort to establish regulated and interoperable digital asset ecosystems amid a competitive landscape that involves other major banks and platforms.
Citigroup's plans to tokenize the equity of venture-backed, late-stage companies on SDX are set to go live in the third quarter of 2025. The bank has also announced plans to become a custodian and tokenizer for Switzerland's SIX Digital Exchange.
Regulatory clarity from the GENIUS Act passed in July 2025 is expected to accelerate adoption by mandating reserve backing and audits for stablecoins, which supports SDX’s compliant platform model. Citigroup is also exploring interoperability solutions to enable seamless cross-border and cross-institution payments, which could enhance the utility of tokenized private equities and other digital assets.
Notably, the partnership between Citi and SDX is a major and growing opportunity in the private markets. It's worth mentioning that Forge Global, a marketplace for unicorn stocks, was expected to enter the tokenization space a few years ago but did not happen. The partnership with Citi and SDX, however, seems poised to make significant strides in this area.
Citigroup and SDX are also collaborating with Swiss digital asset bank Sygnum and Singapore's SBI Digital Markets to drive demand from their client investors. SDX's operations mainly consist of digital bonds and cryptocurrencies to date, but the partnership with Citigroup could expand its offerings to include tokenized private equities.
In summary, Citigroup’s partnership with SIX Digital Exchange for tokenizing late-stage venture-backed equities is operational and aligned with regulatory developments and its broader digital asset expansion. The partnership is expected to generate strong investor interest and modernize private market transactions, potentially creating new opportunities for liquidity and investment while maintaining regulatory compliance.
- The partnership between Citigroup and SIX Digital Exchange (SDX) involves tokenizing the equity of venture-backed, late-stage companies, which aims to simplify and digitize a manual and paper-driven industry within the banking sector.
- The collaboration utilizes SDX’s regulated blockchain platform, which consists of a central securities depositary (CSD) and a marketplace, and with Citigroup's technology, is intended to solve challenges for issuers and investors in the private markets.
- The partnership is expected to generate strong investor interest, and Marni McManus, Citi Country Officer & Head of Banking for Switzerland, Monaco & Liechtenstein, has highlighted the potential for the partnership to create new opportunities for liquidity and investment while maintaining regulatory compliance.
- The partnership is a major opportunity in the private markets, and Citigroup's plans to tokenize the equity of venture-backed, late-stage companies on SDX could expand SDX's offerings to include tokenized private equities, potentially enhancing the utility of digital assets in the finance industry.
