DTCC Launches Tokenization Service for DTC-Custodied…

AI summary of the source article

DTCC subsidiary The Depository Trust Company has launched the DTCC Tokenization Service to create tokenized representations of DTC-custodied securities. Twenty participants, including major global banks and brokerages, have signed agreements to access the platform.

Why it matters

The service is intended to "connect digital-ledger applications with regulated market infrastructure and support asset mobility, collateral use and access to liquidity."

Key facts

• The service enables eligible participants to convert DTC securities entitlements between traditional and tokenized forms.
• Twenty DTC participants, including Barclays, Citi, J.P. Morgan, and Morgan Stanley, have signed agreements to access the service.
• The initial launch covers 34 eligible securities valued at approximately $30 trillion, including select Russell 1000 stocks, ETFs, and U.S. Treasuries.