NORTH CAPITAL LAUNCHES TOKENIZATION SUBSIDIARY

North Capital Token Services LLC

North Capital will offer technology and services for tokenization of debt, equities, and private fund interests, and on-chain credential certification.

The erstwhile benefits of being public — including streamlined access, liquidity, transparency, and custody — are being eroded as private markets evolve.”

— Grant Nelson, Managing Director

SALT LAKE CITY, UT, UNITED STATES, February 4, 2026 /EINPresswire.com/ -- North Capital Investment Technology, Inc. today announced the launch of North Capital Token Services, LLC, a wholly-owned subsidiary that plans to offer technology and services related for tokenization of debt, equities, and private fund interests, as well as on-chain credential certification (KYC, AML, AI, QP, QC, QIB).

“We have long believed that tokenization on public blockchains offers the best long-term hope for interoperability and standardization in private markets,” said Jim Dowd, CEO of North Capital. “We believe the time has come to move tokenization out of the sandbox and into production. The technology is ready, the regulators are ready, and most importantly, our customers are ready.” North Capital, through its registered broker-dealer North Capital Private Securities Corporation, was one of the first regulated broker-dealers to participate in a private offering of tokenized securities, in 2017. As a leading provider of transaction infrastructure for private securities issuers and intermediaries, and having experience with then-nascent Reg D, 506(c) offerings, the firm viewed blockchain technology as a welcome solution to the decades-old problem of fragmentation and lack of scalability in private markets. NCPS quickly moved to develop and register a new Alternative Trading System (PPEX ATS http://www.ppex.com) to provide a regulated trading venue for tokenized securities. Dowd believed that U.S. regulators would welcome the development of infrastructure for the burgeoning private markets, and that tokenized securities markets would develop quickly under the supervision of the SEC. Events unfolded in a different way. “We were right about the growth of private markets, but we were wrong about the adoption curve for tokenization. However, we have never given up on our original vision, that all private securities should one day be tokenized on public blockchains. Detractors have called tokenization a solution in need of a problem; the North Capital team believes the problem is the exponential growth of private markets,” said Dowd.

“There are powerful market forces propelling the growth of private markets,” according to Grant Nelson, Managing Director at North Capital. “It is far cheaper and easier to run a private company or fund than a public company or fund. The erstwhile benefits of being public — including streamlined access, liquidity, transparency, and custody — are being eroded as private markets evolve. There is nothing to suggest that this is going to change.”

“Technology has transformed the economics of private markets, even though most firms have their own in-house systems and procedures,” said Sara Judd, Chief Operating Officer of North Capital. “Tokenization via public blockchains offers a layer of connectivity that has been completely missing in private markets.”

North Capital considers tokenization to be a natural extension of its existing private markets infrastructure, complementing its established services, including KYC, AML, and accredited investor verification, secondary trading via the PPEX ATS, custody of private assets, and broker-dealer support for private offerings. “By integrating our existing services with on-chain credentialing, token issuance, and securities lifecycle management, we will be able to modernize how private securities are created, administered, and transferred, while maintaining the investor protections, operational controls, and regulatory compliance that sponsors and intermediaries already rely upon today,” said Dowd.

North Capital Disclosures

North Capital Investment Technology, Inc. (NCIT) through its technology and services provided by its registered subsidiaries is transforming infrastructure for issuers, professional intermediaries, and investors in the $3 trillion exempt securities market, driving the evolution of capital raising, clearing, custody and secondary trading for exempt securities including tokenized securities that utilize smart contracts deployed on decentralized blockchain systems.

North Capital Private Securities Corporation (NCPS), a subsidiary of NCIT, is a broker-dealer registered with the SEC (http://www.sec.gov) and a member of FINRA (http://www.finra.org) and SIPC (http://www.sipc.org). NCPS is an agency broker and a clearing and carrying firm, and operates the PPEX Alternative Trading System (http://www.ppex.com), a SEC-registered ATS for secondary trading of private and other exempt securities and registered unlisted securities, including digital asset securities. More information about NCPS may be found on FINRA’s BrokerCheck and on North Capital’s website https://www.northcapital.com.

This press release is for informational purposes only and does not constitute an offer to sell or a solicitation of an offer to buy any securities. Any investment involves risk, including the possible loss of principal, and is speculative and involves a high degree of risk. Nothing in this press release constitutes investment, legal, tax, or accounting advice. Digital asset securities and blockchain-based systems may involve additional risks, including technology, regulatory, and market risks. This press release contains forward-looking statements that involve risks and uncertainties. Forward-looking statements are based on current expectations and assumptions, and actual results may differ materially due to various factors. We undertake no obligation to update these statements.

Jim Dowd
North Capital
jdowd@northcapital.com
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