- NYSE unveils 24/7 trading platform for tokenized securities, boosting flexibility.
- Blockchain integration offers seamless settlement, custody for digital securities trades.
- ICE collaborates with major banks for 24/7 tokenized trading infrastructure.
The New York Stock Exchange (NYSE) has officially developed a platform designed for the trading and onchain settlement of tokenized securities. This new system, if approved, will bring U.S.-listed equities and exchange-traded funds (ETFs) into the realm of 24/7 trading, much like cryptocurrency markets. With this innovation, the NYSE aims to modernize trading practices and create more flexible opportunities for investors.
The platform is set to feature key capabilities such as fractional share purchases and the ability to place orders in dollar amounts rather than full shares. Moreover, it will enable immediate settlement using tokenized capital and support stablecoin-based funding. These features are designed to provide a more accessible and dynamic trading experience for market participants.
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Combining Blockchain with Traditional Trading Models
The new system integrates the NYSE’s Pillar matching engine with blockchain-based post-trade infrastructure, allowing for seamless settlement and custody of digital securities. Designed to support multiple blockchains, the system offers an advanced solution that blends traditional trading models with the flexibility of digital assets. Tokenized shareholders will retain the same governance and dividend rights as those holding traditional securities. Access to this platform will also be open to qualified broker-dealers, ensuring a non-discriminatory and fair trading environment for all participants.
This initiative is part of Intercontinental Exchange’s (ICE) larger digital strategy. ICE is working with major banks like BNY Mellon and Citi to enable tokenized deposits across its clearinghouses. This collaboration will allow clearing members to manage funds outside of traditional banking hours, meeting margin requirements across different time zones and jurisdictions.
The Path Toward 24/7 Trading
The NYSE’s push to introduce 24/7 trading comes in response to increasing demand for continuous market access, similar to cryptocurrency exchanges. The exchange recently surveyed market participants to evaluate the interest in round-the-clock trading. This reflects a growing desire for a more flexible and dynamic market structure that allows for trading at any time, an aspect currently seen in crypto markets.
By maintaining its high regulatory standards, the NYSE ensures that blockchain-based solutions will be implemented without compromising the trust and integrity the exchange has built over its long history. This commitment to blending cutting-edge blockchain technology with traditional market structures positions the NYSE as a leader in digital securities, providing new opportunities for investors.
With 24/7 trading on the horizon and tokenized securities offering greater flexibility, the NYSE is setting the stage for a new era in financial markets. If successful, the platform could fundamentally change how securities are traded and settled, driving the future of global finance.
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