The Depository Trust & Clearing Corporation (DTCC) has launched a securities tokenization service, a significant step toward integrating blockchain technology with traditional US financial market infrastructure. The service went live on October 28, 2026, initially supporting 34 securities, with 20 financial institutions signed up to participate.

The eligible securities represent approximately $30 trillion in market value and span US stocks, exchange-traded funds (ETFs), and Treasury securities. The initiative is being implemented through the Depository Trust Company (DTC), the DTCC subsidiary responsible for securities custody and settlement. For context on scale, Canton Network's launch announcement placed total assets under DTCC custody at roughly $114 trillion, meaning the initial $30 trillion of eligible securities remains a subset of the assets moving through the organization's custody infrastructure.

Through the new service, eligible financial institutions can convert securities held in DTC custody into blockchain-based tokens while preserving the ownership rights, investor protections, and economic entitlements attached to the original assets. The initial deployment connects to the Canton Network and to DTCC's private blockchain built using Besu, an Ethereum client. The launch reflects growing institutional interest in applying blockchain infrastructure to securities processing, asset transfers, and broader financial market operations.

Tokenized Securities Distinguished From Synthetic Assets

A key feature of the service is that its tokens represent actual securities already held in DTC custody, rather than synthetic instruments designed to track the prices of stocks or bonds. Because of this distinction, the tokenized representations retain the rights and protections associated with the underlying securities. Investors receive blockchain-based representations of existing financial assets instead of separate instruments that merely mirror market performance.

DTCC has also separated the conversion of securities into tokens from the subsequent transfer of tokenized assets. Eligible institutions can submit conversion requests during regular business hours, and DTCC is targeting a maximum processing time of 15 minutes. Once tokenized, assets can be moved between accounts registered with DTC around the clock, including outside conventional market operating hours. That continuous availability marks a departure from traditional US market practice, where trading and settlement follow fixed business-day schedules.

DTCC Chief Executive Frank La Salla described the launch as the result of several years of development aimed at bringing tokenized securities into an established regulatory framework supported by reliable market infrastructure. Nadine Chakar, DTCC's global head of digital assets, highlighted the importance of industry cooperation, regulatory engagement, and a measured approach to blockchain innovation.

Network Expansion Planned for 2027

The initial launch is the first phase of DTCC's broader tokenization strategy. The organization plans to onboard additional financial institutions and expand the number of supported blockchain networks over time. Its roadmap includes adding Stellar and Circle's Arc network in 2027, extending the service beyond its initial connections to Canton and the private Besu-based chain.

The expansion could give financial institutions additional options for accessing tokenized securities and integrating blockchain-based infrastructure into existing operations. The initiative also forms part of a broader effort to connect traditional securities custody systems with blockchain networks while maintaining established investor protections and regulatory requirements.

.@The_DTCC, which custodies $114T in assets, has launched its Tokenization Service. Minting digital representations of Russell 1000 constituents, major index ETFs, and US Treasuries, are now live on Canton Network, built with input from 150+ firms. PR:

— Canton Network (@CantonNetwork) October 28, 2026

Canton Strategic Holdings Plans Tokenized Nasdaq Shares

In a separate development, Canton Strategic Holdings, a Nasdaq-listed company formerly known as the biotechnology firm Tharimmune, announced plans to tokenize its common shares on the Canton Network. Trading was expected to begin as early as November 2.

The company is working with TSV LLC, a trading venue for tokenized securities, and Fairmint, a US Securities and Exchange Commission-registered transfer agent, to facilitate the initiative. The proposed tokenized shares are expected to carry the same shareholder rights as the company's Nasdaq-listed stock. Fairmint TA LLC, a subsidiary of Fairmint, will issue the shares, maintain ownership records, and oversee transfer compliance.

Canton Strategic Holdings also linked the initiative to the SEC's September innovation exemption, which the participants identified as providing a regulatory pathway for trading tokenized US equities on domestic platforms.

Canton Network Targets 24/7 Tokenized Stock Trading

TSV plans to route Canton Strategic Holdings' tokenized shares into an automated market maker using the Tradecraft protocol on the Canton Network. The arrangement is designed to support continuous trading and atomic settlement, allowing eligible participants to trade tokenized shares beyond traditional stock market hours.

TSV Chief Executive Ali Abrar indicated that approved participants would be able to provide liquidity and execute transactions at any time, with trades settling atomically on the network.

Taken together, the DTCC launch and Canton Strategic Holdings' initiative illustrate how blockchain networks are increasingly being integrated into traditional securities markets, potentially enabling continuous asset transfers, faster settlement, and broader institutional access to tokenized financial instruments. The coming months offer concrete checkpoints: the expected start of trading in Canton Strategic Holdings' tokenized shares as early as November 2, and DTCC's planned 2027 additions of Stellar and Circle's Arc to the service.

Source: CoinTrust