Nasdaq announced a new equity token design that places public issuers at the center of ownership rights, investor experience, and governance. The platform, developed in partnership with Payward, the parent company of Kraken, will create a gateway that allows tokenized equities to move between regulated markets and on‑chain environments while preserving issuer control and regulatory compliance. The initiative is slated to become operational in the first half of 2027.
The launch is part of Nasdaq’s broader transformation into a technology‑ and software‑led infrastructure company. It follows Nasdaq’s September 2025 filing of a tokenization proposal with the SEC and the 2026 SEC Staff Statement on Tokenized Securities, which classifies tokenized equities similarly to traditional ones. By offering tokenization services, Nasdaq aims to generate a new recurring revenue stream and deepen its technology moat in the financial technology space.
Tal Cohen, Nasdaq president, said, “Tokenization has the potential to unlock the benefits of an always‑on financial ecosystem – enhancing how investors access markets, how issuers engage with shareholders.” He added, “We believe that public companies should always remain at the center of the equity market ecosystem. This issuer‑sponsored approach for tokenized equity securities is designed to empower public companies and enhance global accessibility to U.S. equity markets.” Arjun Sethi, co‑CEO of Payward and Kraken, noted, “Tokenization improves market infrastructure at the asset layer by enabling equities to exist as interoperable instruments across regulated financial systems and open blockchain networks while preserving issuer rights and price integrity.” He further explained, “For international customers, this expands access to public markets where traditional distribution has been limited. For U.S. customers, it will enable greater collateral efficiency and capital mobility across trading and financing workflows.” Sethi concluded, “Our partnership with Nasdaq helps build the liquidity layer and applications needed for tokenized equities to function within a global, always‑on market structure.”
The initiative positions Nasdaq ahead of competitors such as the New York Stock Exchange, which is also exploring tokenized securities. By leveraging Kraken’s xStocks framework and its existing transaction volume, Nasdaq can offer issuers a seamless bridge to blockchain while maintaining the regulatory safeguards of its regulated market infrastructure. The partnership is expected to create a new revenue stream, though specific financial projections have not been disclosed. The platform’s issuer‑centric design is intended to preserve control over tokenized shares, enhance investor engagement through programmable features, and provide a transparent, compliant trading environment.
The announcement signals Nasdaq’s commitment to expanding its technology footprint and creating long‑term growth opportunities in the digital asset ecosystem. By aligning with regulatory guidance and partnering with a leading blockchain provider, Nasdaq is positioning itself to capture a share of the projected trillions‑dollar tokenized asset market while reinforcing its role as a central hub for equity ownership and governance.
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