Benchmark starts coverage of Securitize with a Buy — sees “massive disruptive potential” for tokenization
Investment bank Benchmark has kicked off coverage of Cantor Equity Partners II (the SPAC set to merge with tokenization specialist Securitize) with a Buy rating, calling Securitize “a compelling pure-play investment on tokenization.” The analysts positioned the Miami-based firm as a builder of infrastructure for tomorrow’s capital markets with an end-to-end platform for digitizing real-world assets such as stocks and bonds.
Benchmark set a $16 price target for Securitize’s public vehicle, a projection that assumes the company can reach roughly $178 million in sales by the end of next year. That growth thesis depends on Securitize broadening its competitive moat through blue-chip partnerships and monetizing both origination fees from tokenizations and recurring servicing revenue, Benchmark said.
The timing follows a wave of crypto-related listings last year that revived investor interest in digital-asset infrastructure. Securitize announced in October that it plans to go public on Nasdaq via a merger with Cantor Equity Partners II (CEPT), a deal that initially valued Securitize at $1.25 billion. CEPT shares were trading near $11 on Tuesday, according to Yahoo Finance.
Benchmark analyst Mark Palmer told Decrypt he’s confident in the revenue outlook because “there’s a great deal of visibility with regard to the company's future revenue streams.” He also argued tokenization could upend traditional finance: “I think there’s a massive disruptive potential as it pertains to traditional finance and the ways in which capital markets have functioned up to this point,” Palmer said, pointing to faster settlement and improved efficiency as core advantages.
Why Securitize stands out
- End-to-end stack: Securitize offers tools from origination through servicing, positioning itself as a one-stop solution for tokenized securities rather than a single-vertical play.
- Big partnerships: The firm has already attracted high-profile backers and integrations — including BlackRock, which led a $47 million strategic round and uses Securitize’s platform for BUIDL, the industry’s largest tokenized money-market fund. That fund is valued at about $2.2 billion and runs across eight networks, primarily Ethereum and Solana.
- Market opportunity: Benchmark pegs the total addressable market in “real-world assets” at around $300 trillion and views Securitize’s broad applicability as a key differentiator.
Regulatory and market momentum
Securitize’s promise also touches on market plumbing: Palmer noted its platform can effectively bypass legacy clearing infrastructure like the DTCC, a capability with bigger implications than stablecoins alone. The firm’s momentum includes a recent announcement with the New York Stock Exchange to develop a round-the-clock tokenized securities platform — a move aligned with the SEC’s “Project Crypto” modernization goals.
Context and comparisons
The market has already seen tokenization plays reach public markets. Figure Technologies — which tokenizes HELOCs — debuted on Nasdaq last September. Unlike Figure’s vertical focus, Securitize’s strategy targets cross-industry adoption, which Benchmark believes supports the firm’s growth case and justifies its $16 target if the revenue targets are met.
Bottom line
Benchmark’s initiation frames Securitize as a foundational player in tokenization with credible revenue paths and marquee partners. If the company can scale origination and servicing revenues as expected, analysts see it as a rare pure-play way to gain exposure to the digitization of traditional finance.
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