Etherealize announced the completion of a $40 million Series A funding round on September 3, aimed at building institutional-grade infrastructure for Ethereum adoption on Wall Street. Electric Capital and Paradigm led the investment, joining previous supporters such as the Ethereum Foundation and Vitalik Buterin, who provided initial grants to the startup.
Co-founded by Ethereum researcher Danny Ryan and former Wall Street trader Vivek Raman, Etherealize focuses on the development of private transaction settlement engines, tokenization platforms for fixed-income assets, and zero-knowledge privacy protocols. The company leverages deep domain expertise to create tools that align with compliance requirements and integrate with existing institutional workflows.
The new capital will finance product development across three core areas: automated on-chain settlement for OTC trades, programmable escrow services for tokenized securities, and secure cross-border payment rails. Etherealize’s architecture emphasizes modularity, enabling integration with custody providers, broker-dealers, and compliance monitoring systems through standardized APIs.
An early demonstration of Etherealize’s settlement engine processed simulated trades between two institutional counterparties, executing final settlement on a private Ethereum network with sub-second confirmation times. The platform’s privacy layer employs zero-knowledge proofs to conceal transaction details from unauthorized observers while maintaining regulator-accessible audit trails.
Market demand for Ethereum-based financial infrastructure is driven by recent institutional tokenization initiatives, including BlackRock’s tokenized money market fund and JPMorgan’s Kinexys platform for on-chain USD payments. Etherealize aims to position itself as a bridge between these large-scale tokenization use cases and traditional financial market participants.
Investor commentary cited Etherealize’s founding team and technology roadmap as key differentiators. The company plans to use a portion of the funds to expand engineering and compliance teams and to establish strategic partnerships with major custodians, trading platforms, and enterprise software vendors.
Regulatory engagement forms a central pillar of Etherealize’s go-to-market strategy. The startup has initiated discussions with U.S. and EU regulators to define appropriate frameworks for tokenized asset issuance, settlement finality, and cross-jurisdictional liquidity management.
Looking ahead, Etherealize intends to open a pilot program for select institutional clients in Q1 2026, offering access to the settlement network and tokenization toolkit under a sandbox arrangement. The company’s vision is to make Ethereum the foundational ledger for institutional markets by delivering compliant, scalable, and privacy-preserving infrastructure solutions.
Comments (0)