SEC Accepts NYSE Proposal: Introducing "Tokenized Securities" Trading Mechanism to Support On-Chain Settlement

BlockBeats News, April 18th. The U.S. SEC released a document (34-105260), disclosing a rule change proposal submitted by the NYSE to formally introduce a "Tokenized Securities" trading framework.

According to the proposal, NYSE plans to add Rule 7.50, allowing eligible securities to be traded and settled in a blockchain-based "tokenized form" alongside traditional form. This arrangement will operate under the DTC pilot program. Key mechanisms include:

Tokenized securities will share the same trading symbol (CUSIP) and ownership structure as traditional stocks, with full fungibility;
In the matching engine, tokenized securities will have the same execution priority as traditional securities, unaffected by their form;
Market participants can choose on-chain settlement using a "tokenization flag," with specific handling carried out by custodians.

In addition, NYSE also plans to simultaneously modify order ranking, routing, and clearing rules to align with the trading process of tokenized securities, ensuring seamless integration with the existing market structure.
From a market perspective, this proposal signifies that U.S. traditional stock exchanges are formally exploring the integration of blockchain technology into core trading and settlement systems. If approved, this may become a significant milestone for "on-chain securities" entering mainstream financial infrastructure.