Nasdaq is looking for approval of the regulations to introduce tokenized versions of shares and listed funds (ETFs) into its existing trading platform.
On September 8, Tal Cohen, president of Nasdaq, sketched the vision in a LinkedIn rackIt is explained that the plan was designed to capture the efficiency buyers of tokenization while retaining investor rights and market protectors that have been built for decades.
This initiative reflects a broader shift in traditional finances where asset managers such as BlackRock and Fidelity experiment with tokenized offers.
Because of this growing acceptance, Galaxy Research has estimated that tokenized shares could represent a market of $ 190 trillion within two decades.
Why Nasdaq wants to trade shares
Nasdaq, one of the greatest traditional stock markets with a daily trading volume of more than $ 400 billion, emphasized that US shares are already ranking as the world’s most liquid and transparent markets, supported by rigorous supervision and advanced technology.
Cohen explained that the proposal would expand those strengths in the digital age instead of replacing them.
According to him:
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“The approach ensures that tokenized securities trade as regular effects, the guarantee of both the rights of investors and the systemic stability of our markets by tested, resilient infrastructure. It aims to record the benefits of the technology and at the same time guarantee in a way that serves the best in investors, and other interested capital market.”
He pointed out that the request from the Nasdaq emphasized how tokenization could streamline long -term market processes. According to him, technology could introduce faster settlement cycles, lower transaction friction and programmable business actions to the system.
Nevertheless, Cohen warned that such changes should not be at the expense of resilience or security.
He emphasizes decentralized financing and a lesson in both potential and risk to integrate blockchain technology into space.
According to him, Defi -Platforms have demonstrated new ways to treat trade and open space, but they have also exposed vulnerabilities when the growth exceeds governance.
In view of this, Cohen emphasized that the protection of investors and operational stability must remain in the core as new technologies are introduced.
As a result, the stock market said that it is ready to work with infrastructure providers to explore applications such as modernized proxy votes and automated postal trades services.
