Securitize Markets Wins FINRA Approval to Expand Tokenized Securities Operations

Securitize says the authorization from FINRA (U.S. broker-dealer regulator) allows custody and settlement for tokenized securities within its existing broker-dealer framework.

Summary

Securitize said Securitize Markets has received approval from FINRA (U.S. broker-dealer regulator) to expand its operations in tokenized securities. According to the company, the approval allows custody and settlement of tokenized securities under its existing broker-dealer structure, broadening the role it can play in the digital asset securities lifecycle. Securitize also said it has built an end-to-end setup covering issuance through secondary trading, while plans for listings are moving forward. The development is notable because tokenized securities (traditional assets represented on blockchain) require regulated infrastructure for trading, safekeeping, and post-trade processing.

Terms & Concepts
  • Tokenized securities: Traditional securities represented on blockchain, allowing ownership and transfers to be recorded digitally within a regulated framework.
  • Custody: The safekeeping of client assets by an authorized firm, a core function for regulated securities and digital asset markets.
  • Settlement: The final transfer of assets and payment after a trade is executed, completing the transaction process.