Morgan Stanley tokenizes U.S. equities and Treasurys through DTCC service
Morgan Stanley tokenizes U.S. equities and Treasurys via DTCC
Morgan Stanley has begun using the Depository Trust & Clearing Corporation's (DTCC) new tokenization service to tokenize real-world assets. Tokenization means turning a real asset into a digital token on a blockchain, which is a shared digital record system.
The bank said it has tokenized U.S. equities and Treasurys through the service, making it among the first to do so. It announced the move in an X post.
Key numbers from the launch
- 20 institutions signed up to access the service at launch last week.
- DTCC's depository subsidiary, DTC, holds $114 trillion in assets under custody.
- The service was developed with input from more than 150 firms.
What Morgan Stanley said
Amy Oldenburg, Morgan Stanley's head of digital assets strategy, said: "The hands-on experience of integrating tokenized securities with established market infrastructure will inform the continued development of the firm's digital asset capabilities as the market evolves."
Which institutions joined at launch
Participants at launch included Bank of America, Barclays, and BNP Paribas. Citi, Fidelity Investments, JPMorgan, State Street, and UBS were also listed.
DTCC said it has plans to onboard future users on a rolling basis. The service initially supported Canton and its private Besu network.
Tokenized equities planned for early 2027
Morgan Stanley expects to support tokenized equities on its alternative trading system in the first quarter of 2027. That is later than its previous target of the second half of 2026.
Oldenburg told The Block last month that the bank was building the necessary infrastructure for the initiative.
Other tokenized trading plans
The New York Stock Exchange and its parent, Intercontinental Exchange, are also advancing plans for a tokenized trading platform. Broadridge, Computershare, Equiniti, and Superstate have signed agreements to serve as transfer agents.
Sources
Newisty Editorial Team covers technology, cryptocurrency, digital products, online platforms, developer tools and the wider digital economy. Our content is researched from official sources, company announcements, public documentation, market data and other primary or reputable sources. Articles are reviewed and edited before publication for clarity, accuracy and useful context.
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