On September 23 local time, NYSE Group and crypto-asset services company Blockchain.com announced that they had signed a memorandum of understanding for a tokenized-securities trading service. The plan is to connect Blockchain.com users to a digital alternative trading system under development by NYSE, allowing them to trade tokenized U.S.-listed stocks and exchange-traded funds. The service is contingent on the necessary regulatory approvals.
In January, NYSE announced plans to develop a separate platform for trading tokenized securities and settling transactions on a blockchain. Its proposed features include trading 24 hours a day, seven days a week, instant settlement, orders entered as dollar amounts rather than numbers of shares, and account funding with stablecoins. Holders of tokenized shares would also receive the same dividend and voting rights as holders of conventional shares.
The collaboration also includes an exchange of market data. ICE Data Services, a unit of NYSE parent Intercontinental Exchange, would distribute Blockchain.com's crypto-asset market data and analytics to its clients, while Blockchain.com would integrate selected ICE and NYSE exchange data into its app. Blockchain.com said this would provide real-time stock-price information to its more than 44 million verified accounts.
The announcement concerns a memorandum of understanding covering plans to distribute the trading service; it does not mean that the service has launched. The announcement did not provide a specific launch date, eligible securities, available countries, or a timetable for regulatory approval.