The New York Stock Exchange (NYSE) has developed a platform that would enable the trading and on-chain settlement of tokenized securities.
Subject to regulatory approvals, the new platform will accommodate 24/7 operations, instant settlement, orders sized in dollar amounts, and stablecoin-based funding. Its design combines the NYSE’s Pillar matching engine with blockchain-based post-trade systems, including the capability to support multiple chains for settlement and custody.
NYSE added the platform will support trading of tokenized shares fungible with traditionally issued securities as well as tokens natively issued as digital securities. Tokenized shareholders will participate in traditional shareholder dividends and governance rights. The venue is designed to align with established principles for market structure, with distribution via non-discriminatory access to all qualified broker-dealers.
“For more than two centuries, the NYSE has transformed the way markets operate,” said Lynn Martin, president of NYSE Group. “We are leading the industry toward fully on-chain solutions, grounded in the unmatched protections and high regulatory standards that position us to marry trust with state-of-the-art technology. Harnessing our expertise to reinvent market infrastructure is how we’ll meet and shape the demands of a digital future.”
The NYSE is part of Intercontinental Exchange Inc. (NYSE: ICE), a provider of technology and data and the operator of six clearing houses around the world. Michael Blaugrund, vice president of strategic initiatives at ICE, stated, “Supporting tokenized securities is a pivotal step in ICE’s strategy to operate on-chain market infrastructure for trading, settlement, custody, and capital formation in the new era of global finance.”
