Wall Street backbone DTCC brings $30 trillion securities closer to blockchain with major banks

Bringing blockchain technology into the system could make tokenized assets part of mainstream market infrastructure rather than a separate market operating alongside it.

Tokenization promises to make financial assets easier to transfer, settle and use as collateral. While banks and asset managers have spent years experimenting with blockchain-based securities, connecting those assets to the systems that already underpin trillions of dollars in transactions could help bring the technology into everyday market operations.

Analysts at Citi projected tokenized securities will become a $5.5 trillion market by 2030 as more financial institutions adopt blockchain technology.

Bringing traditional securities onchain

"Today marks the culmination of years of work to bring tokenized securities into a regulated framework supported by trusted market infrastructure," said Frank La Salla, DTCC's president and CEO.