The New York Stock Exchange (NYSE), part of Intercontinental Exchange (ICE), has announced the development of a new platform for trading and on-chain settlement of tokenized securities, marking a major step toward modernizing U.S. market infrastructure.
The platform, which is subject to regulatory approval, will enable 24/7 operations, instant settlement, orders denominated in dollar amounts, and stablecoin-based funding.
The platform will combine the NYSE’s Pillar matching engine—a high-performance order-matching system—with blockchain-based post-trade systems. It will be designed to support multiple blockchains for settlement and custody, ensuring flexibility and interoperability. This hybrid architecture allows for secure, scalable, and compliant on-chain operations.
The platform will support continuous trading of U.S. listed equities and ETFs, extending beyond traditional market hours. Using blockchain-based post-trade systems, transactions will settle near-instantly, reducing counterparty risk and capital requirements.
Investors can place orders in familiar dollar amounts, improving accessibility and usability. The system will allow funding via stablecoins, enabling seamless capital movement across time zones and outside traditional banking hours. The platform will support fractional ownership, increasing access for retail investors.
The platform will launch only after receiving approval from U.S. regulators. All qualified broker-dealers will have equal access to the new venue, aligning with established market structure principles.
Tokenized shares will be fungible with traditionally issued securities, ensuring that token holders retain the same rights, including dividends and voting rights. The platform will also support tokens issued directly as digital securities, enabling new forms of capital formation.
This initiative is part of ICE’s broader digital strategy, which includes:
- Preparing its six global clearinghouses (including the world’s largest energy and credit default swap clearinghouses) for 24/7 operations.
- Partnering with major banks like BNY Mellon (NYSE: BK) and Citi (NYSE: C) to support tokenized deposits across clearinghouses, improving liquidity and margin efficiency.
- Exploring the use of tokenized collateral and integrating digital assets into clearing and settlement processes.
Lynn Martin, President of NYSE Group, emphasized that the exchange is leading the industry toward fully on-chain solutions, combining trust, regulatory rigor, and modern technology.
Michael Blaugrund, Vice President of Strategic Initiatives at ICE, described the move as a pivotal step in operating on-chain market infrastructure for trading, settlement, custody, and capital formation.
The announcement comes amid growing demand for nonstop trading, with Nasdaq pursuing 23-hour daily trading and major brokerages like Robinhood and Charles Schwab extending trading hours. The NYSE’s platform aims to meet this demand while maintaining the integrity, transparency, and regulatory oversight expected of a major U.S. exchange.
This development positions the NYSE at the forefront of the convergence between traditional finance and blockchain technology, potentially reshaping how securities are traded, settled, and owned in the digital era.