DTC approved for tokenization: US capital markets move towards on-chain settlement
The Depository Trust Company (DTC), a core subsidiary of Depository Trust & Clearing Corporation (DTCC), has secured regulatory approval to introduce a groundbreaking tokenization service, marking a major milestone in the integration of blockchain technology into the US capital markets.
The authorization follows a No-Action Letter issued by the U.S. Securities and Exchange Commission on December 11, 2025, in which Depository Trust Company, a subsidiary of Depository Trust & Clearing Corporation, received regulatory approval to develop a tokenization framework for select assets held within the custody system.
According to DTCC, the platform is expected to be production-ready in the second half of 2026, potentially marking one of the most important institutional blockchain integrations in traditional finance.
Notably, a DTCC patent also identifies this $XRP and Stellar (XLM) as indicated by “Digital Liquidity Tokens”, positioned to facilitate the global tokenization of assets and enable seamless cross-ledger settlement within the proposed framework.
The initiative aims to bring select stocks, ETFs and fixed income securities to blockchain-based settlement, allowing ownership data and the finality of transactions to be managed via distributed ledger technology.
If fully implemented, this could streamline post-trade processes, reduce settlement times and increase transparency in financial markets.
DTCC is pushing tokenization into the heart of US capital markets
For decades, DTC has anchored U.S. securities settlement, processing trillions every day. Now DTCC brings tokenization to this trusted infrastructure, combining the efficiency and programmability of blockchain with traditional market reliability.
Executives say the industry is at an inflection point since global pilot programs demonstrated the benefits of distributed ledgers, while large-scale adoption is limited by regulatory and institutional hurdles.
Notably Japan’s SBI recently launched a ¥10 billion on-chain bond of $XRP rewards, highlighting the growing impact of blockchain in the real world.
Now that the SEC has issued the ‘no action’ guidelines, DTCC believes the market is ready to move beyond experimentation and into full production.
The organization argues that the next phase of tokenized finance will depend on trusted institutions able to provide security, resilience and regulatory compliance, areas where the decades-old market infrastructure offers a clear advantage.
In addition to faster resolution, the framework could unlock new efficiencies in global capital markets. Tokenized securities have the potential to enable programmable financial services, enable real-time collateral movement, and significantly improve capital efficiency for institutional participants.
DTCC says its strategy focuses on securely tokenizing real-world assets (RWAs) while maintaining the stability and safeguards expected from core market infrastructure.
By combining the reliability of traditional clearing systems with blockchain innovation, the initiative aims to reduce operational costs, increase transparency and pave the way for next-generation financial services.
With an expected 2026 launch approaching, DTC’s tokenization platform could mark a turning point: bringing blockchain technology from the financial margins to the core of the US securities market.
Meanwhile, the NYSE is reportedly exploring a digital securities platform trading in chainsimmediate settlement and stablecoin-based financing, pending regulatory approval, indicating that the race to modernize capital markets infrastructure is accelerating.
Conclusion
DTC’s tokenization initiative marks a transformative shift in securities issuance, registration and settlement.
Backed by SEC guidelines and the institutional strength of DTCC, it goes beyond technology and creates a new market infrastructure where traditional finance and blockchain meet.
If successful, this platform could accelerate the adoption of tokenized assets, enabling faster, more efficient and highly transparent capital markets.