Nasdaq proposes tokenized stocks: SEC may bring the stock market onto the blockchain
The largest U.S. stock exchange, Nasdaq, has filed an application with the SEC to allow trading of tokenized stocks under the same conditions as traditional securities. The goal is to merge conventional markets with blockchain tools into a unified ecosystem.
According to the proposal, stocks and ETFs could exist in parallel “classic” and “tokenized” forms—sharing the same identifier (CUSIP), investor rights, and order execution rules. Nasdaq emphasizes that the transition will be seamless for traders: they will be able to choose the form of settlement (traditional or tokenized) without changes to trading processes or oversight.
At the same time, Nasdaq insists that tokenized versions must comply with all the rights and obligations of traditional securities—otherwise, they will be considered separate instruments. The first tokenized trades could start as early as Q3 2026, provided that the Depository Trust Company (DTC) infrastructure is ready.
For the blockchain space, this is a strategic step: Nasdaq aims to move tokenization from the shadows and integrate it into the core of traditional finance. If the SEC approves the plan, it would set a precedent, allowing investors to legally purchase company shares “on-chain” with full regulatory guarantees.
Investors and RWA-focused projects are closely monitoring the initiative. The possibility of trading Apple, Amazon, or other company shares as tokens alongside traditional versions may change the rules of the game. Bridges between DeFi and traditional capital are already being discussed.
Still, concerns remain. Critics point to risks of liquidity fragmentation between asset versions, difficulties with blockchain audit trails, and potential regulatory conflicts. There must also be clarity over which version takes precedence, especially during corporate actions such as dividends or mergers.
