Nasdaq’s proposal would allow trading of tokenized securities—digital representations of equities and ETPs—on Nasdaq platforms after SEC approval, integrating blockchain into existing market infrastructure to attract institutional investors while preserving investor protections and regulatory compliance.
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Nasdaq seeks SEC approval to trade tokenized securities on regulated markets.
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Focus is on tokenized U.S. equities and ETPs, not direct cryptocurrencies like BTC or ETH.
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Proposal aims to attract institutional investors by integrating blockchain with existing market infrastructure.
Nasdaq tokenized securities: Nasdaq seeks SEC approval to list and trade tokenized equities and ETPs on its markets—learn implications and next steps.
What is Nasdaq’s proposal to trade tokenized securities?
Nasdaq’s proposal to the SEC would permit trading of tokenized securities—digital representations of equities and exchange traded products (ETPs)—on Nasdaq-operated venues. The plan targets institutional participants and integrates blockchain-based tokenization with existing trading, clearing, and surveillance systems to maintain investor protection.
How would Nasdaq integrate tokenized securities into its markets?
Nasdaq plans to enable member firms to list and trade tokenized versions of U.S. equities and ETPs while using current back-office and surveillance infrastructure. Senior Vice President Chuck Mack stated the change “would enable member firms and investors to trade tokenized versions of equity securities and exchange traded products (ETPs) on our markets.”
Why does Nasdaq emphasize institutional adoption?
Institutional adoption is emphasized to leverage Nasdaq’s regulated environment and compliance capabilities. Tokenization offers faster settlement potential and programmable asset features, which could appeal to brokers, asset managers, and institutional liquidity providers seeking efficiency within a familiar regulatory framework.
Frequently Asked Questions
Will Nasdaq’s proposal affect current market settlement times?
Nasdaq suggests tokenization could enable more efficient settlement, but the proposal maintains current regulatory controls. Any settlement improvements depend on technical integrations and regulatory approvals.
How does this differ from crypto exchange listings?
This initiative targets tokenized regulated securities on Nasdaq venues, not listings of unregulated crypto tokens. The focus is on combining blockchain tokenization with established exchange rules and supervision.
Key Takeaways
- Regulatory step: Nasdaq has filed a formal proposal with the SEC to permit trading of tokenized equities and ETPs.
- Institutional focus: The initiative targets institutional adoption by integrating blockchain with Nasdaq’s existing infrastructure.
- No direct crypto trading: The proposal excludes direct trading of BTC and ETH; it is limited to tokenized securities.
Summary table: Nasdaq tokenized securities vs. direct crypto listings
| Feature | Nasdaq tokenized securities | Direct crypto listings |
|---|---|---|
| Assets | Tokenized equities and ETPs | Native crypto tokens (BTC, ETH) |
| Venue | Regulated Nasdaq markets | Crypto exchanges or ATS |
| Regulation | Subject to exchange rules and SEC oversight | Varies by jurisdiction and platform |
Conclusion
Nasdaq’s proposal to trade tokenized securities seeks to bring blockchain-driven asset tokenization into regulated market infrastructure while emphasizing investor protections and institutional participation. The SEC’s review will determine next steps and timing; market participants and observers should monitor official SEC filings and Nasdaq statements for updates.
Published: 2025-09-09 | Updated: 2025-09-09 | Author: COINOTAG
Source notes: Based on Nasdaq’s rule filing and a statement from Nasdaq Senior Vice President Chuck Mack. References to the SEC filing are presented as plain text; full filings are available via official SEC channels and Nasdaq releases.
