HONG KONG, October 31, 2025 – EVIDENT Group ("EVIDENT"), the leading digital market for private assets in Asia, powered by tokenization, today announced a strategic partnership with CavalRe, a company developing decentralized infrastructure to bring capital markets and capital management on-chain. EVIDENT and CavalRe are launching a strategic initiative to solve the most critical challenge facing tokenized alternative assets: structural illiquidity. By integrating CavalRe's core decentralized liquidity protocol, Multiswap, with EVIDENT's licensed digital market infrastructure, this partnership will establish deep, on-demand liquidity pools for private market investments.

EVIDENT Partners with CavalRe to Formalize the Institutional Path for Real-World Assets (RWA)

This collaboration aims to connect EVIDENT's scaled tokenized alternative assets offering and licensed infrastructure with CavalRe's core technology, Multiswap (an automated market maker (“AMM”), designed for digital securities), to deliver a single, scalable solution for instant trading and liquidation.

The partnership establishes a formalized institutional pathway for real-world assets into decentralized finance, combining regulatory compliance with cutting-edge automated liquidity technology to bridge the gap between traditional financial services and blockchain innovation.

The Liquidity Gap: Converting Illiquidity into On-Demand Access

With assets moving on-chain, two key challenges are distribution in primary markets and then follow-on secondary liquidity. The structural illiquidity of private market assets remains a major barrier for scaling private wealth investment. Traditional Over-The-Counter ("OTC") trading is a slow, manual process where selling a position can take months.

This partnership replaces the slow OTC model with a mechanism designed to provide institutional-grade liquidity with a consumer-grade user experience. By leveraging Multiswap’s AMM technology, the system allows investors to trade seamlessly against a decentralized liquidity pool.

The goal is simple: to deliver the ability for private wealth clients to sell their illiquid, tokenized assets instantly for cash without the traditional months-long process of finding a direct counterparty.

A Partnership Built on Complementary Strengths

This collaboration accelerates the convergence of traditional financial ("TradFi") with decentralized finance ("DeFi").

• EVIDENT's Role: EVIDENT provides a full suite of services for the origination, tokenization, custody, and distribution of alternative assets, operating under a licensed, regulated digital market infrastructure. EVIDENT currently primarily works with institutional issuers, such as top asset managers, and institutional private wealth players, looking to bring these assets to their clients. This provides the robust legal and technical framework for digitizing traditionally illiquid assets and is key to hiding the "wires" of the complex underlying DeFi mechanics from the client.
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• ‍CavalRe's Role (Multiswap AMM): CavalRe brings its decentralized liquidity protocol, Multiswap, which acts as the core AMM engine. Multiswap replaces the traditional buyer-seller model with peer-to-pool trading, which is an elegant solution for creating deep, concentrated liquidity for fungible tokenized assets.

"This partnership establishes operational precedents for the future of private market liquidity," said Dr. Florian M. Spiegl, Founder & CEO at EVIDENT. "At EVIDENT, we have worked to solve fundamental challenges like fully compliant digital issuance of private assets with our institutional partners. The next horizon is scaling distribution capabilities and, more importantly, downstream liquidity. Private markets have seen strongly rising demand for secondary market activity and liquidity needs.

The innovative tools and depth of on-chain models are perfectly suited to help solve these challenges with cutting-edge technology. We're building infrastructure that transforms traditionally illiquid assets into instantly tradeable instruments while maintaining the regulatory compliance that institutional investors require. I anticipate a continued convergence of TradFi and DeFi assets and liquidity pools, which will benefit all. This collaboration is a clear commitment and step in that direction, building innovation at the leading edge, as we have done before at EVIDENT."

How This Partnership Benefits Clients and the Ecosystem

The joint initiative delivers clear, immediate, and long-term advantages:

• Instant, On-Demand Liquidity: Clients gain the power to sell tokens that represent a fractional ownership stake in their real-world asset investment instantly for cash-equivalents at a fair market price.
• Turning Expense into Revenue: The AMM structure allows for trading around an actively or passively managed portfolio. By enabling this, the system converts the traditional cost of asset reallocation (trading fees) into a source of potential revenue for the shareholders.
• Price Efficiency through Arbitrage: The on-chain system is designed to be self-regulating, leveraging arbitrage mechanisms to automatically monitor and keep the token price inside the AMM pool aligned with the asset's off-chain Net Asset Value. This ensures efficient and fair pricing for every transaction.

New Market Access: The collaboration taps into the crypto-native client segment who prefer to stay entirely on-chain, offering them diversified, high-quality, and liquid real-world assets through a familiar peer-versus-pool trading mechanism.

End-to-End Liquidity Infrastructure

EVIDENT currently provides a comprehensive solution across its core service pillars:

• Structuring & Tokenization On-Ramp: Designing and executing digital security issuances with embedded compliance mechanisms.
• Administration & Custody Services: Securely managing digital assets and conducting all required fund administration.
• Distribution & Liquidity Services: Connecting offerings with institutional distribution networks.

EVIDENT’s platform is soon to be enhanced by the launch of CavalRe's liquidity technology. This enhancement will integrate continuous secondary market functionality into EVIDENT’s core services:

• Administration & Custody Services: Integrating AMM functionality directly into the custody system, enabling instant trading capabilities. 
• ‍Distribution & Liquidity Services: Providing continuous secondary market liquidity through decentralized pools.

The integrated platform will reduce operational friction through smart contract automation, while the underlying blockchain technology will provide transparent, auditable transaction records that meet regulatory standards.

Setting the Stage for Next-Generation Financial Products

Looking ahead, the partnership will jointly explore and develop a roadmap for new financial products built on this shared liquidity layer:

• Decentralized Index Funds: Investigating the creation of a decentralized ETF or index fund built from pooling EVIDENT's tokenized alternative assets.
• Tokenized Cash Equivalents: Exploring the creation of dedicated money market pools composed of stablecoins and tokenized cash-equivalent assets to provide high-yielding on-chain options for parking capital.
• ‍Compliance Integration: Collaborating on implementing compliance directly within the token's smart contract layer to ensure regulated assets can be traded compliantly on-chain.

Working Towards Technical and Commercial Validation

The partnership is working towards several key achievements:

• Technology Integration: Working towards the successful combination of regulated digital asset infrastructure with decentralized liquidity protocols.
• Regulatory Innovation: Demonstrating how DeFi mechanisms can operate within existing compliance frameworks while maintaining institutional standards.
• Market Efficiency: Validating automated settlement and price discovery mechanisms that reduce operational friction.
• ‍Scalable Solutions: Establishing replicable frameworks for bringing traditional assets into decentralized trading environments.

Supporting Hong Kong's Digital Asset Leadership

EVIDENT's collaboration with CavalRe advances Hong Kong's position in global digital finance innovation. The partnership provides a working example of how traditional enterprises can leverage blockchain technology within existing regulatory frameworks, supporting the objectives outlined in Hong Kong's Digital Asset Development Policy Statement 2.0.

The integrated approach reduces technical barriers for asset owners considering digital transformation while maintaining the regulatory protections essential for institutional participation.

Future Development

In a year of unprecedented growth and continued innovation, EVIDENT is focused on deepening partnerships with industry leaders in asset management and wealth management. The collaboration with CavalRe represents a significant step forward in building comprehensive liquidity solutions for tokenized private markets.

Partnership Dynamics

The collaboration between EVIDENT and CavalRe combines regulated infrastructure expertise with decentralized finance innovation. EVIDENT brings established institutional relationships and regulatory compliance, while CavalRe provides sophisticated AMM technology for continuous liquidity provision. This partnership model demonstrates how traditional financial services can integrate with blockchain technology to create new market capabilities.

Market Context

The tokenized asset market has evolved from experimental concepts to practical implementation across global markets. Hong Kong's regulatory clarity, combined with strong institutional demand for alternative investments with enhanced liquidity, creates favorable conditions for continued growth.

The key market differentiator has shifted from technological novelty to successful execution and proven liquidity solutions. This partnership demonstrates a tangible advancement in solving the fundamental challenge of private market illiquidity through innovative technology integration.

About EVIDENT

EVIDENT Group ("EVIDENT") has developed into the leading digital market for private assets in Asia, powered by tokenization. As an SFC-licensed, full-stack platform, it connects wealth management firms and their clients with alternative investment opportunities from leading asset managers. EVIDENT primarily works with institutional issuers, such as top asset managers, and institutional private wealth players, enabling them to bring these high-quality alternative assets to their clients. Its digital market infrastructure, powered by asset tokenization on blockchain, simplifies access, digitises and automates administration, enhances liquidity, and offers greater convenience for investing in alternative assets. Through EVIDENT, private wealth investors access the diversification and growth opportunities in private markets, all within a safe and regulated framework. The company's regulator-approved tokenization approaches offer comprehensive services including platform provision, token creation, custody, and distribution.

About CavalRe

CavalRe develops decentralized infrastructure to bring capital markets and capital management on-chain. The company's core technology, Multiswap, is an Automated Market Maker protocol designed to inject deep, instant liquidity into traditionally illiquid assets such as tokenized private equity, real estate, or venture capital. CavalRe's innovative approach enables peer-to-pool trading through mathematical algorithms that ensure continuous liquidity and transparent pricing, while incentivizing liquidity providers through trading fee distributions.