Moving Toward “7*24 Hour” Trading! NYSE Seeks Approval For “All‑Weather Blockchain Trading Platform”
On Monday, January 19, the New York Stock Exchange, which traces its origins back 233 years, announced plans to develop a blockchain‑based trading venue for tokenized securities designed to enable continuous, seven‑day‑a‑week, 24‑hour trading of equities. The NYSE said it will seek regulatory authorization to permit companies to issue securities represented as digital tokens. Unlike the existing market structure that operates only on business days and closes overnight, the proposed platform would offer round‑the‑clock trading, support instant settlement, and allow investors to fund transactions using U.S.‑pegged stablecoins.
If approved, the initiative would introduce features long associated with crypto markets—continuous trading and immediate settlement—into a regulated mainstream equity venue. The exchange has not provided a launch timetable; implementation will depend on receiving regulatory clearance.
A central change for market participants would be the shift away from the prevailing “T+1” settlement convention. Under the current model, cash and securities are exchanged on the next business day, requiring brokers to hold additional capital to cover settlement risk. The NYSE said the new platform would leverage blockchain to enable instant settlement, which could free up capital and reduce systemic liquidity pressures. The exchange cited the January 2021 GameStop episode, when brokers such as Robinhood temporarily halted trading amid surging capital requirements during the settlement cycle, as an example of the type of disruption that instant settlement could help prevent. The platform would also permit the use of stablecoins for transaction funding, further bridging traditional fiat payment rails and digital assets.
The NYSE’s proposal is part of a broader trend among major financial institutions to build blockchain infrastructure. Nasdaq filed with the U.S. Securities and Exchange Commission last September seeking permission to trade tokenized versions of stocks. In asset management, institutions including JPMorgan, Goldman Sachs, BNY Mellon and State Street have launched or announced tokenized money‑market fund initiatives that allow clients to hold digital tokens representing fund shares.
Intercontinental Exchange clarified that the NYSE’s platform is an internally developed project. Michael Blaugrund, Vice President of Strategic Planning at ICE, noted that although ICE previously invested in crypto prediction platform Polymarket and contemplates future collaboration, the NYSE’s tokenization effort does not involve Polymarket. Reporting in Barron’s indicates ICE is coordinating with banks such as BNY Mellon and Citibank to support tokenized deposit services for its clearing operations. Traditional banks are also advancing tokenization: JPMorgan Asset Management launched a tokenized money‑market fund in December, and other large custodians have announced similar projects to enable clients to hold digital representations of fund shares.
Despite the potential efficiency gains, regulatory and compliance considerations remain significant. Proponents argue that blockchain can streamline corporate financing and enhance market transparency, but regulators and some lawmakers continue to express concern about fraud and investor protection. Outside the United States, certain crypto firms have issued tokens tracking popular stocks such as Nvidia and Tesla; those products have faced criticism for frequent deviations from the underlying share prices.
If the NYSE platform secures approval, its principal significance would be to provide a regulated channel for blue‑chip issuers to conduct compliant tokenized offerings. That outcome would address investor demand for continuous market access while seeking to mitigate the pricing and security issues that have affected offshore tokenized stock products. The NYSE has engaged with SEC staff on the proposal, and the regulator’s final decision will determine whether the project proceeds.
