Revolutionizing Market Access with Blockchain Technology
The New York Stock Exchange has announced plans for a blockchain-based platform that enables around-the-clock trading of tokenized stocks and exchange-traded funds, pending regulatory approval. The Intercontinental Exchange-owned operator is seeking SEC clearance for the new venue, which promises instant settlement and stablecoin funding to address growing global demand for continuous market access.
NYSE executives stated the project will combine their Pillar matching engine with private blockchain networks to enable real-time tokenized securities trading. The platform will support 24/7 operations, instant settlement, dollar-denominated orders, and stablecoin-based funding while preserving traditional shareholder rights, including dividends and governance participation. The company plans to launch later this year, subject to regulatory approval.
Building the Future of Global Finance on Blockchain
Michael Blaugrund, vice president of strategic initiatives at Intercontinental Exchange, called supporting tokenized securities a pivotal step in ICE's strategy to operate on-chain market infrastructure. The initiative encompasses trading, settlement, custody, and capital formation in what the company describes as a new era of global finance built on blockchain technology.
The platform will power a new NYSE venue supporting both tokenized shares fungible with traditionally issued securities and tokens natively issued as digital securities. Tokenized shareholders will participate in traditional shareholder dividends and governance rights, with distribution via non-discriminatory access to all qualified broker-dealers. The venue is designed to align with established market structure principles.
Infrastructure for Always-On Operations
ICE is preparing its clearing infrastructure to support 24/7 trading and potential integration of tokenized collateral as part of its broader digital strategy. The company operates six clearing houses globally, including the world's largest energy clearing house and credit default swap clearing house, positioning it to extend always-on operations across multiple asset classes.
The exchange is working with banks, including BNY and Citi, to support tokenized deposits across ICE's clearing houses. This infrastructure will help clearing members transfer and manage money outside traditional banking hours, meet margin obligations, and accommodate funding requirements across different jurisdictions and time zones, addressing a longstanding constraint in global markets.
NYSE Leading the Charge in Tokenization
Lynn Martin, president at NYSE Group, stated the exchange has transformed market operations for over two centuries and is now leading the industry toward fully on-chain solutions. Martin emphasized the effort is grounded in unmatched protections and high regulatory standards that position the exchange to combine trust with state-of-the-art technology in tokenization infrastructure.
Competitive Landscape Driving Innovation
NYSE's main competitor, Nasdaq, revealed plans in December for nearly round-the-clock trading of stocks and exchange-traded products, responding to the increasingly global nature of financial markets and investor behavior. The competitive dynamic is pushing major U.S. exchanges toward extended trading hours and blockchain-based settlement systems.
A Broader Digital Transformation
The rollout represents one component of ICE's broader digital strategy beyond just extended trading hours. The company is building comprehensive infrastructure to support the integration of digital assets into traditional market operations, with tokenized collateral and always-on clearing representing fundamental shifts in how securities markets function.