Wall Street’s secret blockchain platform is coming for your dividends and it’s using stablecoins to do it

The NYSE, owned by ICE, is developing a new venue infrastructure for trading and on-chain settlement of tokenized U.S. equities and ETFs, aiming for 24/7 operations and instant settlement using stablecoin-based funding. This system combines NYSE's Pillar matching engine with blockchain post-trade capabilities supporting multiple chains, though specific blockchains were not named. Tokenized shareholders will retain traditional dividends and governance rights. The shift to instant settlement, paired with continuous trading, places new demands on participants to pre-position cash or collateral at all times, contrasting with the recent move to T+1 settlement. ICE's broader digital strategy includes preparing clearing infrastructure for 24/7 trading and integrating tokenized collateral, working with banks like BNY and Citi to support tokenized deposits for managing margin and funding outside traditional banking hours. This development suggests a potential race between stablecoins and tokenized bank deposits as settlement assets, and could increase demand for tokenized cash-equivalents like Treasury tokens due to the need for collateral mobility in a 24/7 environment. The rollout's pace will depend heavily on regulatory approvals and the establishment of standards for custody and permissioning.

(Source：CryptoSlate)