Lombard Systems Raises $4 Million to Drive Standardization of Tokenized Asset Financing
The funds will be used to accelerate the adoption of the Delivery-versus-Lock ( DvL ) standards, with the first institutional deployment planned to be launched by the end of 2026.
Dubai and New York, November 5, 2026 / PRNewswire / -- Lombard Systems (formerly known as SemiLiquid / PCP) is the creator and maintainer of the Delivery-versus-Lock (DvL) standard. The company announced today that it has raised a total of 4 million US dollars in Series pre-seed and seed financings. This round of financing was led by Ethereal Ventures, with participation from Alps Capital, First Commit Capital, Veris Ventures, Atka, and others.
The company stated that this funds will be used to support the adoption of DvL within institutions, including completing legal opinions for the United States, England, Wales, and five other jurisdictions, promoting the adoption of this standard by more Control Location, expanding institutional integration, and strengthening the Lombard Systems team.
Although tokenization has accelerated asset settlement, the infrastructure supporting collateral financing has remained largely unchanged. Traditional financing arrangements typically require borrowers to transfer collateral to lenders or third-party agents, along with customized documents, and the execution process in case of default is relatively slow.
Securities are now being tokenized on a large scale: The tokenization services of the American Depository Trust and Clearing Corporation (Depository Trust Company) began operations in October 2026; the U.S. Securities and Exchange Commission (SEC) has granted conditional exemptions to trading venues that trade tokenized U.S. stocks; transfer agencies are also issuing native tokenized stocks and funds. However, holders are currently unable to borrow using these assets unless they can meet the legal enforceability requirements set by the authorities.
Lombard Systems has developed DvL, a set of technical and legal standards that enable institutions to use tokens and digital assets as collateral without transferring them out of existing securities accounts. Under these standards, the assets remain locked in the name of the holder with custodian institutions, brokerage traders, or transfer agents, while lenders obtain legally enforceable security interests, evidenced by encrypted and signed Credit Receipt. Borrowers retain the beneficial ownership throughout the process; the owed amount is only delivered to lenders under pre-agreed enforcement terms in the event of a verified default.
Lombard Systems, co-founder and CEO, said regarding the issuance of R tokens: van, der, Veen: "Tokenized stocks and funds are now expanding. Loans issued and executed with tokenized collateral must match the liquidity of these assets in terms of speed, while still being based on existing securities laws. DvL Allows assets to remain in their original securities accounts and grants lenders enforceable rights, with execution terms predetermined in advance. This is precisely what makes tokenized assets viable as collateral."
During this financing round, Lombard Systems is advancing its initial deployment among institutions. In the coming months, the company also plans to carry out more integrations with banks, securities traders, and transfer agents.
Co-Chief Investment Officer Ethereal Ventures and Eeshaan Sachatheva stated: "Tokenization is creating real opportunities for financial institutions in terms of trading and settlement, and there is great potential to extend these advantages to the financing field as well. Lombard Systems is building a key component of this infrastructure through DvL, which is a standardized framework for tokenized asset financing."
DvL supports Lombard loans and margin loans, financing secured by tokenized money market funds and stocks, securities lending conducted through pledging, as well as initial margins for non-centralized clearing derivatives under the existing ISDA main protocol. Institutions can deploy DvL within the existing system in a white-label manner, either directly or through technical partners.
For more information, including the founder's open letter " Increased Collateral Mobility ≠ Increased Efficiency?" and an overview of the DvL standard, please visit lombardsystems.com. Institutions interested in adopting this standard can register at dvlstandard.org. The company stated that the complete standard is expected to be released in the first quarter of 2027.
About Lombard Systems
Lombard Systems creates and maintains the Delivery-versus-Lock (DvL) standards, and provides the tools necessary for institutions to adopt these standards: allowing lending and accepting collateral using these standards without moving the tokenized and digital assets. Lombard Systems is the trade name of Semiliquid Tech Labs Ltd, which has offices in Dubai and New York. For more information, please visit www.lombardsystems.com.
Media Contact
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All names and identifiers mentioned in this text are the property of their respective owners; their use does not imply endorsement or the signing of any agreements. Statements regarding deployment, piloting, and timelines are forward-looking and may subject to change.
