An American university has made history becoming the first-ever tertiary institution globally to invest in tokenized ventures capital.
Rochester Institute of Technology (RIT) achieved this feat after it invested in tech investment firm, COSIMO ventures. The tech firm in an announcement announced that the American university made a seven-figure investment into COSIMO X, a tokenized fund focused on the blockchain sector.
Managing Partner of COSIMO Ventures Robert Frascaexplained that this would mark as the first time a US university had made a direct investment in a tokenized venture fund. Some other universities also have invested in digital assets and blockchain but not directly as Yale, MIT, Havard have done so through venture funds such as Paradigm and Andreesen Horowitz.
James Watters, senior VP of finance and administration at RIT, however, said that being industry leaders, they needed to invest in ventures that promote cutting-edge technologies and also enable them to invest.
Watters said the forward-thinking of COSIMO impressed them and their entrepreneur experience. He also lauded their innovative approach to venture to invest. He said that the firms deal flow had sourced unparalleled investment opportunities, and the fund had an attractive economic structure in current market conditions.
American university purchases COSIMO X token
The university’s investment was about purchasing COSIMO X token. The token represents an economic interest in the fund. The American university could access them through the COSIMO X website powered by Securitize.
Carlos Domingo, the Securitize CEO, explained that they were excited to provide the issuance technology for the tokens emphasizing that COSIMO’s team already revolutionized how capital investing worked by enhancing liquidity, increasing transparency, and generating incentives for long-term holders.
COSIMO X set for more investment
The tech firm, as part of its goal, is focused on investing in companies that use blockchain protocols and digital assets to advance the rapidly growing emerging digital sector.
Robert Frasca, the COSIMO Ventures Managing Partners, noted that decentralized software protocols represented a multi-trillion-dollar growth opportunity saying they also aim to capture this market.