The New York Stock Exchange, operated by Intercontinental Exchange, announced on Monday the development of a blockchain-powered trading platform for tokenized securities. This platform is designed to operate with instant settlement around the clock, seven days a week.
"For more than two centuries, the NYSE has transformed the way markets operate," said President of NYSE Group Lynn Martin in a statement. "We are leading the industry toward fully on-chain solutions, grounded in the unmatched protections and high regulatory standards that position us to marry trust with state-of-the-art technology."
The platform would integrate the exchange's trading technology with blockchain post-trade systems. It is intended to support settlement across multiple blockchains, though specific networks were not named in the announcement.
It will facilitate trading of tokenized shares of traditional securities and native tokenized securities. Investors using the platform will be able to participate in shareholder dividends and governance.
"Since its founding, ICE has propelled markets from analog to digital," said ICE Vice President of Strategic Initiatives Michael Blaugrund in a statement. "Supporting tokenized securities is a pivotal step in ICE's strategy to operate on-chain market infrastructure for trading, settlement, custody, and capital formation in the new era of global finance."
The firm is collaborating with major banking institutions BNY and Citi. This partnership will assist in the tokenized deposit process, as well as fund transfer and management across its clearinghouses outside traditional banking hours and across different time zones.
No timeline for the platform's launch was provided. The launch is subject to regulatory approval. A company representative did not immediately respond to a request for comment.