The New York Stock Exchange has formally filed a proposed rule change with the U.S. Securities and Exchange Commission to introduce Rule 7.50, a framework that would allow compliant securities to trade and settle on blockchain rails in tokenized form. Under the filing, participants would be able to select on-chain settlement through a tokenization flag within the DTC pilot framework.
The public document shows the NYSE submission was filed as 34-105260. Tokenized securities would keep the same CUSIP and the same rights structure as their traditional share form, including dividends, voting rights, and liquidation distributions. In practical terms, the tokenized version is designed to be fully interchangeable with the conventional one rather than treated as a separate class of asset.
Same matching priority as traditional shares
The filing centers on the tokenization flag mechanism. Once a market participant elects that route, a custodian would handle on-chain clearing and settlement. Inside the matching system, tokenized securities and traditional securities would receive the same execution priority. The on-chain form would not be pushed behind other orders simply because it settles differently.
That structure keeps the existing market model largely intact. The proposal does not replace security identifiers or alter shareholder rights; it inserts a compliant blockchain-based post-trade path into the current exchange framework.
Nasdaq already received approval for a similar model
This is not the first such move. On March 18, 2026, the SEC approved a similar Nasdaq framework under filing 34-105047. Eligible instruments disclosed in that structure include Russell 1000 stocks, S&P 500 ETFs, and Nasdaq 100 ETFs. The first tokenized trade under Nasdaq’s setup is expected by late Q3 2026, pending DTC system updates.
NYSE’s proposal closely tracks that model: same CUSIP, same ticker, no difference in execution priority, and the same reliance on the tokenization flag and the DTC pilot environment. The comparison shows that tokenized equities are moving past theory and into exchange rule design and settlement infrastructure planning.
NYSE also signed an MOU with Securitize
Alongside the rule filing, NYSE has already taken steps on the issuance side. On March 24, the exchange announced an MOU with Securitize. Under that arrangement, Securitize became the first approved digital transfer agent allowed to mint “native on-chain securities” on NYSE’s new digital trading platform.
The source material notes that BlackRock is among Securitize’s backers, and that BlackRock has been expanding its presence in the tokenized fund market. On the technology side, NYSE’s setup combines the Pillar matching engine with a blockchain backend, supporting 24/7 trading, instant settlement, orders placed in U.S. dollar amounts, stablecoin funding, and multichain settlement and custody.
For now, both the NYSE and Nasdaq structures remain limited to the DTC pilot sandbox rather than a broad market rollout. Even if Rule 7.50 is approved, the timing of the first on-chain U.S. stock trade will still depend on whether DTC infrastructure goes live in the second half of 2026.