NYSE Files Rule Change to Enable Tokenised Securities Trading Under SEC Review
The NYSE has filed a rule change with the SEC to enable tokenized equities and ETFs to trade on the same order book as traditional shares, with identical CUSIP, ticker, and shareholder rights. The proposal aims to integrate digital representation into existing exchange systems while preserving settlement rules and investor protections.
The NYSE has proposed a rule change to allow tokenized equities and ETFs to trade alongside traditional shares on the same order book. Tokenized securities will retain the same CUSIP, ticker, and shareholder rights as their traditional counterparts. The proposal ensures that execution priority and settlement rules remain unchanged, with trades continuing to settle on a T+1 cycle. A DTC pilot settlement will maintain existing post-trade infrastructure, with custody and clearing remaining within established financial systems. The SEC will review the proposal over a three-year period, during which market participants will provide feedback. The NYSE aims to integrate tokenized infrastructure within regulated markets while preserving stability within traditional equity market rules.
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