Wall Street Giants Mobilize Tokenized Assets in DTCC Live Production Launch

Post-trade market infrastructure company DTCC began advancing tokenization from concept to live production Wednesday (July 15).

In a series of live updates posted on its website, DTCC shared news of clients that began using live trading environments to demonstrate and transact tokenized assets.

“Today marks a significant milestone in the evolution of global financial markets,” DTCC said in its first update posted at 8:30 a.m. ET. “Building on more than a decade of innovation and industry collaboration, DTCC is helping advance tokenization from concept to live production, demonstrating how trusted market infrastructure and digital innovation can work together at scale.”

During the morning, DTCC added live updates showing that JPMorganChase converted the Invesco QQQ Trust exchange-traded fund (ETF) into a tokenized real-world asset, Vanguard exchanged tokenized equities for other tokenized assets, Citadel Securities converted traditional equities into tokenized equity positions, Alpaca converted traditional equities into tokenized equity positions, and BNP Paribas and Citadel Securities pledged tokenized assets as collateral to support financial obligations.

“DTCC and the participants of today’s live production trades intentionally identified a number of use cases for today’s event to demonstrate how tokenized assets can operate within trusted market infrastructure while enabling interoperability, asset mobility and operational efficiency,” DTCC said in one of the updates.

Later in the morning, DTCC announced that JPMorganChase posted tokenized assets to satisfy central clearing margin requirements with CME Group, DriveWealth converted traditional equities into tokenized equity positions, Citadel Securities and Societe Generale pledged tokenized assets as collateral to support financial obligations, and Societe Generale converted traditional Treasury securities into tokenized positions.

“As explained by multiple market participants who completed transactions during today’s event, tokenized assets have the potential to move more seamlessly across networks and between counterparties,” DTCC said in another update. “The result is a more connected ecosystem where assets and collateral can be mobilized with greater efficiency while leveraging the same market infrastructure that investors have relied on for decades.”

PYMNTS reported in May that DTCC is planning a fall launch for its tokenization service. DTCC said at the time that it planned to facilitate limited production trades of real-world assets tokenized using its tokenization service in July before a wider launch in October.

For all PYMNTS digital transformation coverage, subscribe to the daily Digital Transformation Newsletter .