TVL Capital raises $5M led by Framework Ventures to bring structured products on-chain
What's the deal? Zug-based fintech TVL Capital has raised $5 million to build blockchain infrastructure for structured products — a market worth roughly $2.6 trillion globally. The round was led by US venture capital firm Framework VenturesDealroom has a profile for this one. Try Dealroom →, with participation from Dutch liquidity provider Flow Traders and other strategic investors.
The company is developing what it calls Chain-Traded Products (CTPs) — structured products issued, traded, and managed entirely on blockchain networks. Think of them as the on-chain equivalent of exchange-traded products.
TVL Capital was founded by Andrew Peel, former head of digital asset markets at Morgan StanleyDealroom has a profile for this one. Try Dealroom →, Penny Tunbridge, former global chief operating officer of UBS Group Integration Office, and Lars Hoffmann, former senior research director at crypto research firm The Block.
Why now? Regulatory momentum in the US is shifting in favour of blockchain-based financial products. The GENIUS Act and the proposed CLARITY Act are expected to create a more supportive framework for digital assets. Meanwhile, major market infrastructure players — the DTCC, Nasdaq, and the New York Stock Exchange — have all announced tokenisation projects, with industry observers expecting the first US securities to trade directly on-chain as early as this year.
Annual issuance of structured products has nearly tripled since 2021, creating a fast-growing market ripe for modernisation.
What could go wrong? Institutional adoption of on-chain financial products remains nascent. TVL Capital says it is already working with globally systemically important banks and traditional financial institutions, but converting pilot conversations into live products is a different challenge. Regulatory clarity can also shift — what looks supportive today could tighten under new political winds.
The signal: This raise reflects two converging trends: traditional finance's growing comfort with blockchain rails, and Switzerland's enduring role as a launchpad for digital capital markets innovation. The investor mix — a crypto-native VC firm alongside a major traditional liquidity provider — signals that the line between DeFi infrastructure and institutional finance continues to blur.
TVL Capital has also bolstered its governance. Ben Floyd, venture partner at Framework Ventures and former Coinbase executive, and Thomas Raab, former board member of SIX Digital Exchange, have joined the board. The advisory board now includes Larry Cermak, president of The Block, alongside former senior executives from Flow Traders, Morgan Stanley, and Credit Suisse.
Read more: finews.com
