SEC approves Nasdaq tokenized equities trading pilot

The U.S. Securities and Exchange Commission (SEC) approved a rule change enabling Nasdaq to support a pilot program for trading tokenized shares. This program, operated by the Depository Trust Company (a DTCC part), allows eligible participants to settle trades in tokenized form, with these digital equities sharing the same order book and execution priority as regular shares, while granting shareholders identical rights.

This development marks a significant step toward bringing market infrastructure onchain, as most previous tokenized stock offerings were limited to non-U.S. users. The approval follows broader momentum, including the SEC authorizing the DTCC to pilot asset tokenization in December. SEC Chairman Paul Atkins has indicated the agency is advancing crypto-related rulemaking, including seeking public comment on a proposed "innovation exemption" for onchain securities, emphasizing that tokenized securities must adhere to existing securities laws.

Despite this progress, some traditional finance groups have voiced concerns, arguing for stronger regulatory guardrails for blockchain-based securities. The SEC filing did not specify the duration of the pilot program.

(Source：The Block)