TL;DR
DTCC launched its tokenization service on Canton Network and a private blockchain built on Besu.
A total of 20 financial institutions, including JPMorgan, Citi, Morgan Stanley, and Bank of America, signed agreements to access the platform.
The service allows stocks, ETFs, and Treasury securities to be converted into tokens backed by the underlying assets. DTCC plans to add Stellar and Arc during 2027.
Depository Trust & Clearing Corporation (DTCC) launched its U.S. securities tokenization service , allowing stocks, exchange-traded funds, and Treasury securities to be represented on blockchain infrastructure .
The platform went live on Canton Network and a private blockchain built on Besu . It initially supports 34 securities , including selected stocks from the Russell 1000 index, ETFs, and U.S. Treasury bills, notes, and bonds.
According to the company, the eligible instruments represent an estimated market value of $30 trillion . DTCC, which handles clearing, settlement, and custody services in U.S. securities markets, oversees more than $114 trillion in assets held through its subsidiaries.
DTCC Brings JPMorgan, Citi, and Morgan Stanley Onto Its Platform
A total of 20 institutions signed agreements to use the service , including Bank of America, Barclays, Citi, Fidelity Investments, JPMorgan, Morgan Stanley, Citadel Securities, State Street, and UBS.
Authorized institutions will be able to convert traditional securities into tokens during business hours. DTCC aims to complete these transactions in 15 minutes or less .
Once tokenized, the securities can be transferred between wallets around the clock , provided the transactions comply with applicable regulatory restrictions.
Each token will be backed one-for-one by securities held in custody at Depository Trust Company (DTC) , a DTCC subsidiary.
Official ownership records will remain with DTC, even when tokens move between wallets . This structure ensures that the instruments retain the rights associated with the original securities , unlike synthetic products that merely track price movements.
DTCC CEO Frank La Salla explained that the initiative allows tokenized securities to operate within a regulated framework using existing custody and oversight systems.
Stellar and Arc to Be Added in 2027
DTCC also announced plans to expand the service to Stellar and Arc , the blockchain developed by Circle, during 2027.
Its roadmap includes tools to settle transactions using digital cash and use tokenized securities as collateral in financial transactions.
The service was made possible by a no-action letter issued by the U.S. Securities and Exchange Commission (SEC) in December, which allowed DTCC to tokenize a defined set of financial instruments.
The company had announced its plans in May and conducted a demonstration of the system before launching commercial operations.
According to Citi estimates, the tokenized securities market could reach $5.5 trillion by 2030 .
Other U.S. firms are also developing infrastructure for these instruments. Nasdaq and the New York Stock Exchange (NYSE) are working on tokenized securities trading systems, while Intercontinental Exchange (ICE) , NYSE’s parent company, is preparing a blockchain-based trading platform alongside OKX .
