Securitize, a tokenization platform based in Miami, announced a record quarterly revenue while grappling with ongoing losses as it prepares for a public listing through its merger with Cantor Equity Partners II (CEPT). The company’s results reflect a growing institutional interest in tokenized real-world assets.
In its first-quarter earnings report, Securitize revealed a 39% increase in revenue year-over-year, reaching $19.5 million, marking the highest quarterly revenue in its history. The surge in revenue was largely driven by a significant increase in asset servicing, which rose 201% to $8.3 million, attributed to the expansion of Securitize Fund Services, now servicing 650 active funds as of March 31.
Tokenization revenue also showed slight growth, totaling $11.1 million, compared to $11 million in the same quarter the previous year. The company reported $3.4 billion in tokenized assets under management, alongside $24.9 billion in assets under administration and $1.9 billion in aggregated transaction volume.
Despite this revenue growth, Securitize reported a net loss of $7.9 million, or 88 cents per diluted share, which reflects an increase in expenditures related to growth initiatives and preparations for its public-market debut. Adjusted EBITDA fell to $800,000 from $4.1 million during the same period last year.
Chief Financial Officer Francisco Flores emphasized the company’s commitment to investing in headcount and infrastructure to facilitate long-term growth while maintaining a disciplined approach to expense management. The merger with Cantor Equity Partners II, a Nasdaq-listed special purpose acquisition company, is expected to position Securitize as one of the few publicly traded entities focused on tokenized securities and real-world assets. Following the announcement, shares of CEPT increased by 5%.
Securitize has reported record revenue for the first quarter, driven by increased demand for tokenized assets, yet continues to face losses as it invests in growth and prepares for a public listing. The company's merger with Cantor Equity Partners II will likely enhance its market position in tokenized securities.