Crypto asset firm Securitize Capital is finalizing the tokenization of $491 billion asset management entity KKR’s Health Care Strategic Growth Fund II (HCSG II) on the Avalanche blockchain.

Specifically, the development was reportedly disclosed by KKR on Sept. 13, with the tokenization of HCSG II referred to by the head of Securitize Capital Wilfred Daye as a “significant breakthrough” for individual access to private equity markets.

Once finalized, the tokenization will reportedly make it possibl for investors to assume possession over a token representing a share of the $4 billion healthcare-focused fund which made investments in 23 North American and EU-based firms operating in the pharmaceuticals, medical devices and life sciences spheres.

So as to purchase the HCSG II Fund on the Securitize protocol, it would be mandatory for investors complete the submission of their passport, fill out personal and tax information, as well as finalizing a “liveness check” to be eligible for review. 

Investors are also subject to a 0.50% management fee.

Founder and CEO of Ava Labs Emin Gün Sirer further claimed that the tokenization of the HCSG II Fund will go down as a “huge milestone” for the blockchain sphere, via making it possible for “real world assets” to move on-chain. 

KKR further remarked that on-chain tokenization of real world assets also “lowers investment minimums, improves digital investor onboarding and compliance protocols, and increases potential for liquidity through a regulated alternative trading system.”

The potential for tokenization to capture a major share of international assets has also been acknowledged by Boston Consultant Group (BCG) and Raiffeisen Bank International’s Blockchain Research Hub.

BCG reportedly casted a prediction that $16.1 trillion of illiquid assets will be tokenized by 2030, while Raiffeisen Bank International’s Blockchain Research Hub predicted last year that most securities will be tokenized by 2030.