The New York Stock Exchange has submitted a rule change to the US Securities and Exchange Commission to allow tokenized issues of eligible securities to trade on its market.
summary
- The NYSE wants tokenized securities to be traded alongside traditional stocks on the same exchange’s order book.
- Eligible tokenized assets must retain the same index, CUSIP, rights and privileges as the original assets.
- Clearing and settlement will remain through DTC, with token trading maintained within existing market bars for now.
This filing adds to a broader push by major exchanges to bring blockchain-based settlement to regulated market systems.
The SEC notice states that the New York Stock Exchange foot The proposed rule was changed on April 9. The Depository will adopt Rule 7.50 and amend several exchange rules to allow securities to be traded in tokenized form during the Depository Trust Company’s pilot program.
The DTC pilot will run for three years under a no-action letter to SEC staff in December 2025. The SEC issued the NYSE notice on April 17, and public comments are scheduled by May 13.
Token shares will retain the same rights
Under the proposal, tokenized securities would have to remain at par with their traditional issues. They must share the same CUSIP number, bar, rights, and privileges as regular security.
The tokenized securities will be traded on the same order book and follow the same execution priority rules, the exchange said. The filing stipulates that a tokenized security must give its holders the same rights to dividends, voting, and residual assets as traditional stock.
Moreover, the New York Stock Exchange The proposal does not create a separate crypto-style venue for stock trading. Instead, eligible members will enter orders through the exchange and select instructions for DTC to clear and settle the trade in token form.
The filing says tokenized securities can be traded within the existing national market system. The NYSE also said it is “evaluating different approaches to tokenization” and will submit new proposals if it chooses another method outside of the DTC approach.
Broader tokenization push arrives at SEC
The NYSE filing follows a similar move from Nasdaq, which recently amended its rules to allow tokenized securities to be traded during a DTC trial. The NYSE filing says its proposal is based on the rules structure adopted by the Nasdaq.
A separate filing with NYSE Arca also drew attention in cryptocurrency markets after naming XRP, Bitcoin, Ethereum and Solana as assets that could qualify under proposed commodity trust listing standards. Crypto news I mentioned That XRP file does not officially classify XRP as a commodity under federal law.
The two filings indicate growing interest in tokenization across both traditional securities and cryptocurrency-related products. However, the NYSE’s tokenized securities base focuses on regulated stocks and exchange-traded products, not new digital tokens.
