Key Takeaways
Nasdaq is seeking an SEC nod to permit tokenized trading of listed securities.
If approved, investors could trade both traditional and tokenized versions of stocks on Nasdaq by late 2026.
Share this article
Nasdaq has filed a proposal with the SEC to allow stocks and exchange-traded products listed on its main market to be traded in either traditional digital form or tokenized form, Reuters reported Monday.
This would be the first time tokenized securities are allowed on a major US exchange, if approved.
The filing follows the SEC’s rulemaking agenda, which includes potential amendments to permit crypto trading on national exchanges and alternative trading systems.
If approved, investors could buy Nasdaq-listed shares that settle in token form without changing how orders are routed, priced, monitored, or reported. Nasdaq said tokenized securities must carry “the same material rights and privileges” as traditional shares.
The exchange flagged concerns about Europe, where some platforms sell tokenized US equities without providing actual shares. It projects that the first token-settled trades could arrive by late Q3 2026, pending the Depository Trust Company infrastructure.
The move comes amid rising demand for tokenized assets. Banks like Bank of America and Citi are exploring these products, while Coinbase has sought SEC approval to offer tokenized equities.
Share this article
