The New York Stock Exchange (NYSE) has filed a rule change with the SEC to enable the trading of tokenized securities on its main order book. This closely mirrors a March Nasdaq rule change that allows stocks tokenized by the DTC to be traded in the same way as conventional stocks. This is one step in NYSE’s multi-prong tokenization strategy which separately includes plans for a dedicated tokenization trading venue that would enable instant settlement using stablecoins.
The filing piggybacks on the DTC’s December 2025 SEC no action letter allowing the DTC to issue tokenized entitlements for stocks in its custody. Once the stock is tokenized it could trade on the Nasdaq or NYSE or on other venues where the DTC is not involved in post trade settlement. Today’s rule change covers the same universe of Russell 1000 stocks and major index ETFs as the Nasdaq and DTC approvals.
The mechanics are substantively identical to the Nasdaq rule. Tokenized and conventional shares trade on the same order book with the same execution priority, share the same CUSIP, and settle T+1 through existing NSCC/DTC post trade rails. Member organizations flag a tokenization preference at order entry, specifying blockchain and wallet address, and the DTC tokenizes or de-tokenizes the entitlement post settlement. If there is any issue with eligibility or the selected blockchain or wallet, the trade simply settles in conventional form.
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