NYSE’s Tokenized Securities Bet Could Reshape the US Stock Market

The New York Stock Exchange (NYSE) is developing a blockchain-based platform to support tokenized versions of traditional securities, aiming to modernize US equity market infrastructure. These tokenized shares would legally represent real assets, operating alongside conventional stocks with eventual fungibility between formats. The current market structure, reliant on separate entities for trading, clearing, and settlement, creates inefficiencies like settlement risk and capital lockup, and limits trading to fixed hours. Tokenization addresses these issues by enabling near real-time ownership updates and atomic settlement on a shared ledger, reducing friction and risk. Crucially, continuous 24/7 trading would allow prices to adjust incrementally as information flows globally, potentially smoothing out the sharp price shocks that occur when markets react to overnight news.

(Source：BeInCrypto)