DTCC Subsidiary Gets SEC No-Action Letter to Tokenize Stocks and Bonds
A subsidiary of the Depository Trust & Clearing Corporation has been granted a no-action letter by the U.S. Securities and Exchange Commission, allowing it to move forward with a tokenization service for stocks, ETFs and bonds. The firm says the platform is slated to go live in 2026; the SEC sign-off removes a key regulatory hurdle and signals greater willingness to accommodate tokenized representations of traditional securities.
The approval could accelerate institutional adoption of blockchain-based settlement by lowering legal uncertainty around issuance, custody and post-trade processing. Market participants will watch for details on interoperability, investor protections and how the new service will integrate with existing clearing and custody workflows. If widely adopted, the program could reshape settlement timelines and cost structures, while prompting competitors and custodians to expand their token services.