Depository Trust & Clearing Corporation (DTCC), a major Wall Street operator, announced on Monday that it will commence limited production trades of tokenized securities in July, with a broader launch of its platform scheduled for October. The new service, developed within DTCC's Depository Trust Company, will enable firms to create digital versions of assets already held in custody while maintaining the same ownership rights and protections.
The system has been designed with input from over 50 firms, including prominent financial institutions such as BlackRock, Goldman Sachs, and JPMorgan, as well as crypto-native companies like Anchorage and Circle. This effort marks one of the most concrete timelines yet for a core piece of market infrastructure transitioning to blockchain-based settlement. As a central component of U.S. markets, DTCC processes trillions of trades daily and serves as custodian of more than $114 trillion in securities.
The process of representing assets like stocks or bonds on a blockchain, known as tokenization, has garnered increasing interest among traditional financial institutions due to its potential to reduce settlement times, cut costs, and open markets to new participants. According to Frank La Salla, DTCC President and CEO, 'We believe tokenization will significantly change how markets work and operate, bringing new levels of liquidity, transparency, and efficiency to investors.' DTCC's move is part of a larger trend on Wall Street, with other operators also pushing towards tokenization. Nasdaq is developing a framework for companies to issue blockchain-based shares and has partnered with the parent company of crypto exchange operator Kraken to distribute them globally, with a potential launch as early as 2027. Intercontinental Exchange, which owns the New York Stock Exchange, has also backed plans for tokenized stocks through a deal with crypto platform OKX, aiming to tap into its large user base.
These efforts reflect a broader race to build a shared infrastructure where stocks, bonds, and digital assets can be traded. DTCC has been gradually building towards this moment, having tested distributed ledger systems for years and joined projects like the institution-focused Canton Network. In December, it obtained a no-action letter from the SEC, allowing it to offer tokenization services for a defined set of assets, including Russell 1000 stocks, ETFs, and U.S.
Treasuries.