Citigroup launches Digital Depositary Receipts for tokenized private-company securities

Citigroup has officially launched Digital Depositary Receipts, a tokenized securities product designed to give affluent and institutional clients exposure to private companies through blockchain-recorded instruments issued and governed by the bank. The structure adapts the traditional depositary receipt model for private markets: investors hold a digital receipt rather than the underlying equity, while Citi acts as issuer and custodian, with records initially maintained on blockchain infrastructure run by Swiss market operator SIX. The first transaction involved Kaleido, a tokenization firm backed by Citi Ventures and wealth management investors at the bank. The launch expands Citi’s push into tokenized finance as banks and trading platforms race to bring private-market assets onto blockchain rails. Citi has previously said tokenized securities could become a roughly $4 trillion market by 2030, and earlier this month joined other large U.S. lenders in a plan to build a shared tokenized deposit network through The Clearing House targeting a mid-2027 launch. Citi has also said it plans over time to expand the new product beyond SIX’s private infrastructure to additional public blockchains.