Securitize Reports Q3 Growth, Announces River One Acquisition and $50 Million Share Buyback Amid Regulatory Tailwinds

Tokenization platform Securitize saw its shares climb approximately 10% in postmarket trading following the release of its third-quarter financial results. The company reported continued expansion across its core operating metrics alongside heightened operating expenses, while simultaneously unveiling a strategic acquisition aimed at expanding its footprint into asset-backed finance.

Headquartered in Miami, Securitize operates within the rapidly evolving sector of the crypto-equity universe that focuses on institutional tokenization infrastructure. The company made its public market debut in July, positioning itself at the intersection of traditional finance and blockchain technology. According to the latest financial report, tokenized assets on the platform expanded by 9% during the third quarter compared to the same period a year prior, reaching a total of $4.8 billion. Furthermore, aggregate transaction volume across the platform rose 20% year-over-year to hit $4.3 billion, while overall revenue climbed 28% to $11.5 million.

This steady commercial growth unfolded against a backdrop of increasing bullish sentiment surrounding the tokenization of real-world assets. Momentum gathered considerable strength throughout the third quarter, culminating on September 17 when the Securities and Exchange Commission formalized its long-awaited Innovation Exemption. This regulatory development established a temporary framework for the trading of certain tokenized stocks, providing the industry with greater regulatory clarity and bolstering overall market confidence.

Despite the positive top-line indicators, Securitize’s profitability remained meaningfully below the levels recorded in the previous year. In an exclusive interview with CNBC, Securitize CEO Carlos Domingo explained that the compression in profitability stems largely from the corporate costs associated with completing the company’s initial public offering over the summer, as well as the deliberate scaling up of operations to capture market share during an active and competitive period for the sector.

Stronger Compliance

As a newly public entity operating in a heavily scrutinized financial frontier, Securitize has intentionally reinforced critical corporate functions. Domingo noted that the company has made targeted investments to bolster several areas of the organization, specifically naming finance, compliance, legal, and cybersecurity. These necessary enhancements naturally drove up corporate expenditures relative to the prior year when Securitize operated as a privately held firm.

Despite the short-term impact on bottom-line figures, Domingo emphasized that the company remains on solid financial footing. He pointed out that the adjusted EBITDA is demonstrating sequential improvement compared to previous quarters. For the third quarter, Securitize reported an adjusted EBITDA loss of $2 million. While this compares unfavorably to a positive adjusted EBITDA of $3.6 million recorded in the same period a year ago, it represents a notable improvement over the $5.5 million loss registered in the second quarter. Concurrently, the company posted a 183% increase in total operating costs and expenses, reflecting the heavy investments made in talent, infrastructure, and public company readiness.

Alongside its earnings report, Securitize announced significant capital allocation decisions on Monday. The company’s board of directors authorized a $50 million share buyback program, signaling management’s confidence in the underlying value and long-term prospects of the business.

In a move that broadens its strategic horizons, Securitize also announced the acquisition of River One, an institutional asset-backed financing platform. River One has been actively developing specialized technology designed to connect stablecoin capital directly with traditional lending markets. While financial terms of the transaction were not publicly disclosed, the acquisition represents a calculated step for Securitize as it looks to diversify its revenue streams and capture new opportunities in adjacent financial verticals.

Through this integration, Securitize aims to modernize the vast and traditional $9 trillion market for asset-backed finance. Domingo outlined the company’s vision to leverage stablecoins as an efficient mechanism for financing real-world assets, generating attractive yields, and tokenizing complex investment positions and credit products.

This expansion beyond its traditional core niche comes at a time when the competitive landscape for tokenization is intensifying rapidly. Major traditional asset managers, including financial giants like BlackRock and Franklin Templeton, are actively entering the tokenization space. At the same time, established financial market infrastructure providers such as the Depository Trust & Clearing Corporation (DTCC) and Broadridge are carving out positions in the emerging ecosystem.

Reflecting on the strategic rationale behind the acquisition and the company’s broader trajectory, Domingo highlighted how the latest developments fit into the firm’s long-term roadmap. Securitize has already established a strong presence in tokenized funds, U.S. Treasuries, and yield-generating products, and has recently accelerated its footprint in tokenized equities. According to Domingo, the incorporation of River One introduces another essential piece to the puzzle, equipping the platform to capture further revenue growth as the tokenization market continues to mature.