- ICEs NYSE is building a blockchain-based tokenized securities venue for 24/7 trading of U.S. equities and ETFs with instant settlement, fractional shares, and stablecoin funding, subject to U.S. regulatory approval.
- The design supports both tokens fungible with traditional shares and natively issued digital securities, while preserving standard shareholder rights and open access for qualified broker-dealers.
- BNY Mellon and Citigroup are working with ICE to enable tokenized deposits and collateral across its clearinghouses so members can move funds and meet margin needs outside banking hours.
- Key uncertainties include SEC approval, maintaining liquidity in off-hours, avoiding fragmentation across venues or chains, and managing stablecoin and interoperability risks.
Read More
On January 19, 2026, Intercontinental Exchange (ICE), owner of the New York Stock Exchange (NYSE), announced the development of a new trading venue—its “tokenized securities platform”—designed for blockchain‐based trading and immediate post‐trade settlement of U.S. listed equities and ETFs. The platform is intended to offer 24/7 operations, fractional share trading, stablecoin-funded trading, and dollar-denominated orders. Key systems combine NYSE’s Pillar matching engine with blockchain-based settlement and custody, supporting multiple chains.
This initiative is part of ICE’s broader digital strategy, which includes readiness of its global clearinghouses (six in total) to handle truly always-on operations and tokenized collateral. Banks including BNY Mellon and Citigroup are being engaged to enable tokenized deposits, which would allow clearing members to manage funds beyond traditional banking hours, meet margin requirements, and support cross-jurisdictional funding flows.
Preserving investor protections and market structure norms appears to be a priority: tokenized shares will carry traditional shareholder rights including dividends and governance; the venue commits to non-discriminatory access to all qualified broker-dealers; shares fungible with traditional securities will coexist with “native” digital securities.
However, several open questions and risks must be managed. Regulatory approval remains pending; the SEC’s reaction and specific framework will materially affect timing and permissible design. Liquidity overnight and during weekends remains uncertain—existing trading volumes drop off outside regular hours, and fragmentation across venues or chains threatens liquidity pools. Stablecoin funding raises risks related to regulatory status, collateral, and interoperability. Operational complexity is high: multiple chains, custody solutions, settlement finality, and risk management all must meet traditional financial regulatory and resilience standards.
Strategically, this positions NYSE/ICE to compete directly with other exchanges exploring similar tokenization, such as Nasdaq, and with growing interest from institutional banks in tokenized money market funds, private markets, and real-world assets. It could reshape the plumbing of capital markets—payments, clearing, custody—if successful, but execution across technology, regulation, and market economics will decide impact.
Supporting Notes
- The press release states the platform will allow 24×7 trading of U.S. equities and ETFs, fractional share trading, instant settlement via tokenized capital, stablecoin-based funding, and dollar-sized orders.
- Clearing and settlement will be built on blockchain-based post-trade systems, supporting multiple chains for settlement and custody.
- The platform will support both tokenized shares fungible with traditionally issued securities and tokens natively issued as digital securities, with full shareholder rights including dividends and governance.
- Non-discriminatory access to all qualified broker-dealers is part of the design, maintaining alignment with traditional market structure.
- ICE is preparing its clearinghouses—six globally—to support 24/7 trading and has flagged integration of tokenized collateral as part of its broader strategy.
- Banks involved include BNY Mellon and Citigroup, which will help enable tokenized deposits to support members in moving and managing funds outside traditional banking hours and across jurisdictions.
- Related developments: BNY has recently enabled mirrored on-chain (permissioned blockchain) representations of client deposit balances, aimed initially at collateral and margin workflows.
- Goldman Sachs and BNY’s tokenization of U.S. money market funds shows growing institutional use of blockchain rails for familiar financial products, though in controlled environments.