tZERO Group, Inc., a provider of blockchain-powered multi-asset infrastructure, announced the launch of tZERO Capital Partners, LLC, an exempt reporting adviser authorized to provide advisory services to private funds. The new entity will focus on managing private funds structured under Sections 3(c)(1) or 3(c)(7) of the Investment Company Act of 1940, available exclusively to accredited investors and qualified clients. This move adds a regulated advisory pathway for institutional-grade private market strategies within the tZERO ecosystem.
Alan Konevsky, Chief Executive Officer of tZERO, stated, “This milestone strengthens our ability to support institutional-grade private fund strategies within a regulated framework. Advisory, alongside our broker-dealer, ATS and digital asset custody capabilities, strengthen our ability to support tokenized fund structures and next-generation workflows within a regulated framework and further bolsters our industry leading end-to-end integrated infrastructure.” The development is part of tZERO’s Tokenize + Trade + Connect strategy, which aims to provide the infrastructure needed for digitally native private fund vehicles and institutional-grade tokenized investment products across emerging on-chain capital markets.
Vanessa Savino, EVP and Chief Legal Officer of tZERO, highlighted the comprehensive nature of the offering: “Combined with our broker-dealer, ATS, and digital asset custody regulatory authorizations, this advisory capability allows us to offer clients a more complete suite of services – from private fund formation and management to trading and custody – all within our end-to-end platform.” tZERO’s existing regulatory authorizations include broker-dealer, alternative trading system (ATS), and digital asset custody licenses, positioning the company to support tokenized securities throughout their lifecycle.
The launch of tZERO Capital Partners comes as the securities industry increasingly explores tokenization to improve liquidity, transparency, and efficiency in private markets. By adding advisory services, tZERO provides a regulated framework for fund managers seeking to tokenize their funds and access a broader investor base through digital securities. The advisory services are targeted at private funds that qualify under specific exemptions of the Investment Company Act of 1940, ensuring compliance with federal securities laws while enabling innovative fund structures.
tZERO Group, Inc. and its broker-dealer subsidiaries offer a liquidity platform for private companies and assets, leveraging blockchain technology to digitize capital tables and facilitate trading on an alternative trading system. The company aims to democratize access to private assets by providing a simple, automated, and efficient trading venue for broker-dealers, institutions, and investors. All technology services are offered through tZERO Technologies, LLC. For more information, visit their website.
The press release also included standard disclaimers regarding investment risks, noting that digital asset securities may not be suitable for everyone and involve substantial risks, including potential loss of principal. tZERO emphasized that the release does not constitute an offer to sell or a solicitation to buy any security, and it does not provide investment advice. The company also cautioned about forward-looking statements, which are based on current expectations and subject to risks and uncertainties.
