Nasdaq has asked regulators to let investors trade tokenized versions of listed securities—such as common stocks—on its main market.
In a Sept. 8 filing with the Securities and Exchange Commission (SEC), the exchange proposed allowing any listed stock or exchange-traded product to trade in either its usual digital form or as a blockchain-based token, with no change to how orders are entered or executed.
If approved, it would mark the first time tokenized securities are allowed on a major U.S. stock exchange.
Tokenization, as Nasdaq explains, means recording aspects of a securities transaction on a blockchain, a shared digital ledger that is encrypted, distributed, and maintained collectively to ensure integrity and prevent tampering….