After years of experimentation, tokenization of real-world assets (RWAs) is gaining traction across major platforms. Robinhood and Kraken have already listed tokenized products, while Coinbase is preparing similar offerings — signaling that blockchain-based ownership is entering the financial mainstream.
But while tokenized stocks and bonds are catching on, venture capital is proving far harder to replicate.
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In an interview with Supermoon’s Elena Obukhova and TheStreet Roundtable’s Jackson Hinkle, he asked: Will venture capital funds be next?
Imagine retail investors owning fractional access to elite venture portfolios that were once the exclusive domain of institutions and insiders. Tokenized venture capital funds could democratize investment, offering liquidity and accessibility in a market that was always closed to the public.
But as Elena Obukhova points out, the math behind this dream is more complicated than it looks.
“We actually worked on the financial modeling for tokenizing venture capital funds,” Obukhova explained. “The challenge is not technology. It is liquidity.”
Unlike tokenized companies that can be traded daily, venture funds operate on long time horizons. Their value depends on portfolio companies that may not see liquidity events for years. Making these funds tradable introduces volatility that could shake both investors and founders.
Obukhova warns that if tokenized venture capital units were freely traded, performance metrics and interim valuations could pressure founders of still developing startups. Many of today’s unicorns, she noted, were close to collapse before achieving success. Publicizing those numbers in real time could undermine confidence, disrupt funding rounds, and distort price discovery.
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The vision of tokenized venture finance is not impossible, but it will require new models. Some firms are already experimenting with limited forms of tokenization that preserve privacy and restrict trading windows. Others are exploring valuation frameworks that reflect the illiquid nature of early stage investments.
As Obukhova notes, liquidity events occur roughly every one to two years for most startups, far too infrequently for tokens to sustain stable and accurate pricing. This means the market must rethink how to represent and trade these assets responsibly.
This story was originally reported by TheStreet on Nov 3, 2025, where it first appeared in the Innovation section. Add TheStreet as a Preferred Source by clicking here.
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