Spanish asset manager Azvalor has officially launched its first tokenised investment fund within the controlled environment of the Spanish National Securities Market Commission (CNMV) regulatory sandbox. The pioneering project, developed in partnership with Allfunds Blockchain and BNP Paribas‘ Securities Services business, introduces a structural innovation for the distribution of Undertaking for Collective Investment in Transferable Securities (UCITS)
funds.
Named Azvalor Blockchain FI, the fund’s shares are registered and stored on a private blockchain network, using Allfunds Blockchain’s infrastructure to process transactions. The core breakthrough is the ability to execute and settle buy-and-sell transactions in real-time, a radical departure from traditional models that is expected to significantly reduce processing times, improve efficiency, and enhance the overall investor experience. This represents a major step towards a more modern and scalable architecture for UCITS fund distribution.
BNP Paribas’ Securities Services business is acting as both the depositary bank and fund administrator, playing an essential role in managing the operational flows and ensuring integration between traditional processes and the new blockchain-enabled mechanisms. This collaboration is designed to maintain stringent regulatory and operational standards while exploring ways to optimise market infrastructure.
“Real-time execution and settlement of transactions on tokenised funds represent a qualitative leap in distribution infrastructure,” commented Rubén Nieto, managing director at Allfunds Blockchain. “This project demonstrates how blockchain can deliver real efficiency and new opportunities in fund operations.”
While the fund is not open for public distribution in its initial phase, it allows selected investors to validate these new operational features under real-world conditions. The use of the CNMV’s regulatory sandbox facilitates the validation of disruptive operating models, aiming to accelerate the adoption of technologies that bring efficiency, transparency, and scalability to the asset management market.
Soledad Lecube, head of Spain, Securities Services at BNP Paribas, explained that their participation “reflects our commitment to innovation and to the evolution of our services, leveraging the opportunities offered by new technologies.” Lecube added that the real-time operational-flow management is “a natural evolution toward a more dynamic and transparent model for our clients.”
Azvalor’s Financial and Operations Director, Sergio Fernández-Pacheco, stated that “Blockchain technology will significantly enhance the user experience and provide participants with new features and services,” underscoring the asset manager’s commitment to innovation for its co-investors.
