Nasdaq CEO Adena Friedman said at TOKEN 2049 in Singapore that tokenizing Treasuries, equities, money market funds and cash could improve collateral mobility and unlock billions of dollars in trapped capital across the global financial system. She said institutional interest in tokenization has risen sharply over the past year, with part of that momentum tied to the U.S. GENIUS Act establishing a regulatory framework for stablecoins. Friedman also said institutional demand is converging with retail investors’ preference for around-the-clock trading, though moving the financial industry to a fully 7x24 market remains a major operational challenge because risk and collateral management would need to run continuously in real time. She added that AI is critical to that shift and said Nasdaq has already launched digital agents on its risk management platform, initially to provide recommendations, with banks potentially able to use them for more direct actions later. Kraken co-CEO Arjun Sethi said companies outside the U.S. are also showing strong interest in tokenization and in accessing U.S. capital markets.
Nasdaq CEO Adena Friedman said at TOKEN 2049 in Singapore that tokenizing Treasuries, equities, money market funds and cash could improve collateral mobility and unlock billions of dollars in trapped capital across the global financial system.
Institutional demand is rising
Friedman said institutional interest in tokenization has grown significantly over the past year. She linked part of that increase to the U.S. GENIUS Act, which she said has created a regulatory framework for stablecoins.
She said that interest from institutions is now converging with retail demand for around-the-clock trading. According to Friedman, the retail ecosystem is roughly 10 years ahead, but building a fully 7x24 market for the financial industry remains a major undertaking. Risk management and collateral management would need to operate continuously in real time.
AI seen as essential for 24/7 trading
Friedman said AI is critical to enabling 7x24 trading. Nasdaq has already introduced digital agents on its risk management platform, she said. The initial version provides recommendations, while banks may be able to use such tools for more direct actions in the future.
Kraken points to overseas interest
Kraken co-CEO Arjun Sethi said companies outside the United States are also showing strong interest in tokenization and in gaining access to U.S. capital markets. He said that includes a company with about $25 million in revenue as well as larger international firms.
Friedman also cautioned that not every asset has enough liquidity to support a 7x24 trading environment.
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