New York Stock Exchange to Develop Year-Round Tokenized Securities Platform
The NYSE is building a blockchain-based marketplace enabling 24/7 trading of tokenized stocks and ETFs, aiming to expand investor access and streamline settlements.
Summary
The New York Stock Exchange is developing a blockchain-driven trading venue that will allow investors to buy and sell tokenized stocks and ETFs at any time, without market closures. The initiative marks a major step toward integrating blockchain technology into traditional capital markets, enabling potentially faster settlements and broader global access to U.S. securities.
Terms & Concepts
- Tokenized securities: Traditional financial securities represented as digital tokens on a blockchain, enabling easier transfer and fractional ownership.
- Exchange-Traded Fund (ETF): An investment fund traded on stock exchanges, holding assets such as stocks, bonds, or commodities, and now capable of being tokenized for blockchain-based trading.
- Blockchain: A decentralized digital ledger technology that records transactions securely and transparently across a network of computers.