TVL Capital, an institutional digital asset infrastructure firm, has raised US$5 million in a funding round led by San Francisco-based venture capital firm Framework Ventures.
Amsterdam-based liquidity provider Flow Traders and several strategic investors also participated in the capital raise.
The company will use the capital to build out its core engineering and business development capabilities.
This expansion aims to accelerate the deployment of Chain-Traded Products (CTPs), which are compliant, composable structured derivatives issued, settled, and managed directly on blockchain rails.
TVL Capital was founded by traditional finance veterans, including CEO Andrew Peel, who formerly served as the Head of Digital Asset Markets at Morgan Stanley.
The founding team also includes Chief Operating Officer Penny Tunbridge, the former Global COO of the Group Integration Office at UBS, and Chief Strategy Officer Lars Hoffmann, who previously worked as the Senior Research Director at The Block.
The firm is actively partnering with global systemically important banks, traditional financial institutions, centralised exchanges, and onchain protocols to bring its products to market.
They design CTPs to function as the blockchain equivalent of exchange-traded products, delivering institutional-grade yields and specific payoffs through smart contract infrastructure.
The global retail structured products market represents US$2.5 trillion in outstanding notional value, with new issuances nearly tripling since 2021.
TVL Capital plans to provide infrastructure for this asset class to migrate onchain, opening up digital access to structured payoffs while establishing direct onchain distribution channels for traditional issuers.
“The global financial system is in the early stages of migrating onchain,”
said Andrew Peel, Founder and CEO of TVL Capital.
“Structured products, with their conditional payoffs and programmable mechanics, are a natural fit for smart contract infrastructure, and an upgrade on how they are issued, distributed and managed today. We are building CTPs for a new generation of capital markets, and are grateful to be doing so alongside partners who share that conviction.”
The funding round comes amid regulatory shifts and market changes in the United States, including the passage of the GENIUS Act and the pending CLARITY Act.
Financial infrastructure entities such as the DTCC, Nasdaq, and NYSE have each announced tokenised securities initiatives, with onchain trading of US securities expected to begin in 2026.
Featured image credit: Edited by Fintech News Switzerland, based on image by AI Generated via Magnific
