Switch to seedless. Get 30% off with SWITCH30 till Nov 02DTCC launches tokenization service for 34 securities
7.2 Banking DTCC launches a tokenization service for 34 securities, letting approved firms create blockchain-based tokens backed by traditional assets. The service offers 24/7 transfers and aims to boost efficiency and liquidity.
The Depository Trust & Clearing Corporation (DTCC) has introduced its Tokenization Service, initially supporting 34 securities, including large-cap stocks, ETFs, and U.S. Treasuries. This service enables approved financial institutions to create blockchain-based tokens, each backed one-to-one by the underlying securities held at DTCC’s subsidiary, the Depository Trust Company (DTC). Twenty major financial firms have signed access agreements. The service operates on the Canton Network and DTCC’s private Besu blockchain, with plans to expand to platforms such as Stellar and Circle’s Arc. Transfers between registered digital wallets are available 24/7, while conversion orders are processed on a more limited schedule. The tokens retain existing CUSIP identifiers and preserve all ownership rights and investor protections. This initiative aims to enhance efficiency, transparency, and liquidity in securities processing, representing a significant step toward integrating traditional finance with blockchain technology. DTCC oversees over $114 trillion in assets, with about $30 trillion eligible for tokenization.
