The New York Stock Exchange plans to use the Avalanche blockchain as the core ledger technology for a planned tokenised securities platform, designed to enable 24/7 trading, clearing and settlement pending regulatory approval, according to Ava Labs, the company behind Avalanche.
Ava Labs announced that Avalanche will serve as the “core ledger technology” for the clearing firm behind an NYSE-affiliated digital trading venue. The platform, which the NYSE’s parent Intercontinental Exchange previously said it was developing, is designed to allow 24/7 trading, clearing and settlement of tokenised securities, subject to regulatory approval.
The move is notable because it places a blockchain beneath the clearing-and-settlement layer, the plumbing that finalises trades, rather than tokenising a single fund or stock. Dennis Lee, the NYSE’s head of digital issuance, said the exchange is “picking the right technology for each job,” and that while the planned platform will support equities listed across a range of blockchains, the ledger that records and settles trades needs to be fast, reliable and able to control who participates.
Emin Gün Sirer, chief executive of Ava Labs, framed the deal as proof that blockchains can support not just products but the infrastructure they trade on, citing Avalanche’s “24/7 atomic settlement” and predictable costs.
The announcement adds to a series of Wall Street tokenisation moves. An effort involving crypto exchange OKX and ICE has encountered friction: Decrypt reported that 67 companies, including the group of major stocks known as the Magnificent Seven, declined to have their shares tokenised on that venue.
Research cited by Decrypt found that tokenised stocks show genuine demand but remain volatile and illiquid, a reminder that the infrastructure may be arriving faster than the markets to fill it.
Analysis
Why This Matters
- NYSE’s adoption of a public blockchain for clearing and settlement could signal a shift in how core market infrastructure is built, potentially increasing efficiency and enabling 24/7 trading.
- The move places tokenisation at the heart of Wall Street, moving beyond individual tokenised products to the plumbing that underpins all trades.
- Regulatory approval will be a key test: the platform’s success depends on whether securities regulators allow blockchain-based settlement of equities.
Background
Tokenisation, the practice of issuing traditional assets as blockchain-based tokens, has become a major pursuit on Wall Street, but most efforts so far have centred on individual products rather than the market machinery itself. The NYSE’s parent, Intercontinental Exchange, had previously disclosed it was developing a digital trading venue, and this announcement names Avalanche as the core ledger provider for the clearing firm behind that venue.
Key Perspectives
Dennis Lee (NYSE): The exchange is “picking the right technology for each job”; the settlement ledger must be fast, reliable and permissioned, while the platform will support equities listed on multiple blockchains.
Emin Gün Sirer (Ava Labs): The deal proves blockchains can support infrastructure, not just products, with Avalanche offering 24/7 atomic settlement and predictable costs.
Companies opting out of tokenisation: 67 companies, including the Magnificent Seven stocks, declined to have their shares tokenised on a competing venue, suggesting uneven appetite for tokenised equities.
What to Watch
- Whether the platform secures regulatory approval from the Securities and Exchange Commission.
- How many companies choose to have their shares tokenised on the NYSE venue when it launches.
- Rival efforts from exchanges and crypto platforms that are also racing to put stocks onchain.
Checked
11 claims in this story checked against 1 source: 10 supported.
Show each claim
- SupportedThe NYSE has tapped Avalanche for its planned tokenised securities platform.Decrypt: “NYSE Taps Avalanche to Settle Its Planned Tokenized Stock Platform.”
- SupportedThe planned platform is designed for 24/7 trading, clearing and settlement, subject to regulatory approval.Decrypt: “The platform, which the NYSE’s parent Intercontinental Exchange previously said it was developing, is designed to allow 24/7 trading, clearing and settlement of tokenized securities, subject to regulatory approval.”
- Partly supportedAvalanche will be the core ledger technology for the tokenised securities platform as a whole.Decrypt: “Ava Labs said Avalanche will provide the “core ledger technology” for the clearing firm behind an NYSE-affiliated tokenized securities platform”
- SupportedAva Labs is the source of the claim that Avalanche will provide the core ledger technology.Decrypt: “Ava Labs said Avalanche will provide the “core ledger technology””
- SupportedThe platform is NYSE-affiliated, and its development was previously announced by NYSE parent Intercontinental Exchange.Decrypt: “The platform, which the NYSE’s parent Intercontinental Exchange previously said it was developing”
- SupportedDennis Lee said the exchange is “picking the right technology for each job.”Decrypt: “Dennis Lee, the NYSE’s head of digital issuance, said the exchange is “picking the right technology for each job,””
- SupportedLee said the planned platform will support equities listed across different blockchains, while its ledger must be fast, reliable and able to control participation.Decrypt: “while its planned platform will support equities listed across a range of blockchains, the ledger recording and settling trades needs to be fast, reliable and able to control who participates.”
- SupportedEmin Gün Sirer, Ava Labs CEO, described the deal as evidence blockchains can support market infrastructure and cited Avalanche’s “24/7 atomic settlement” and predictable costs.Decrypt: “Emin Gün Sirer, Ava Labs’ CEO and founder, framed the deal as proof that blockchains can support not just products but the infrastructure they trade on, citing Avalanche’s “24/7 atomic settlement” and predictable costs.”
- SupportedDecrypt reported that 67 companies, including all the Magnificent Seven stocks, declined to have their shares tokenised on the OKX-ICE venue.Decrypt: “Every Magnificent Seven stock, including , opted out of having its shares tokenized on the venue, with 67 companies in all joining them.”
- SupportedResearch found tokenised stocks have genuine demand but remain volatile and illiquid.Decrypt: “An found tokenized stocks show genuine demand yet remain volatile and illiquid”
- SupportedThe OKX-ICE effort to tokenise stocks has encountered friction.Decrypt: “That OKX-ICE effort has hit friction, though:”