The Depository Trust Company (DTC), a subsidiary of the Depository Trust & Clearing Corporation (DTCC), has launched its tokenization service, allowing eligible financial institutions to convert securities held in its custody into blockchain-based tokens.
The service went live on October 28, 2026, with 20 participating firms signed up and 34 securities eligible for tokenization. The eligible assets represent approximately $30 trillion in market value, according to DTCC.
The platform initially operates on the Canton Network and DTCC’s private blockchain built on Besu, an Ethereum client. The launch brings tokenized representations of US stocks, exchange-traded funds (ETFs), and Treasury securities into established financial market infrastructure.
DTCC launches with 20 financial institutions
DTCC developed the service to connect traditional securities infrastructure with blockchain-based financial applications. Participating institutions can convert eligible securities held by DTC into tokenized representations and deliver them to designated digital wallets.
The 20 firms that signed agreements to access the service include major financial institutions and market participants such as:
- JPMorgan
- Citi
- Morgan Stanley
- Bank of America
- Fidelity Investments
- Barclays
- UBS
- State Street
- Citadel Securities
- BNP Paribas
Other participants include Alpaca, Apex Clearing Corporation, Clear Street, DriveWealth, Edward Jones, Marex, Mirae Asset Securities (USA), Brown Brothers Harriman, Interchange Clearing, and Velocity Capital.
DTCC plans to onboard additional participants over time. The launch follows years of industry collaboration and testing, including limited-production transactions completed earlier in 2026.
Which securities are eligible for tokenization?
The service initially supports 34 eligible securities, representing approximately $30 trillion in market value. The selection includes certain large-cap US stocks from the Russell 1000 index, ETFs tracking major indices, and US Treasury bills, notes, and bonds.
The tokens represent securities already held in DTC custody rather than synthetic instruments that merely track the prices of stocks or bonds. DTCC says the tokenized representations preserve the ownership rights, investor protections, and economic entitlements associated with their traditional counterparts.
DTC holds more than $114 trillion in assets under custody, making its involvement significant for the development of institutional tokenization. The new service creates a route for eligible participants to use blockchain-based representations of assets held within an established securities depository.
The initial list is limited, however. The launch does not mean every security held by DTC can immediately be tokenized.
How the Canton Network and Besu support the service
DTCC is using a multi-network model rather than relying on a single blockchain. The service currently operates on the Canton Network and a private Besu network maintained for DTCC’s use.
Canton is designed for financial institutions that need blockchain-based transactions with privacy and controlled access. Participants can coordinate financial activity while restricting sensitive transaction information to authorized parties.
Besu is an Ethereum client that supports enterprise blockchain deployments. Using a private Besu network gives DTCC another environment in which to process tokenized securities within its own infrastructure.
The two-network approach provides flexibility as institutions develop applications around tokenized assets. DTCC has also said it plans to add more blockchain networks in 2027, including Stellar and Circle’s Arc.
Altcoin Buzz recently covered Canton Network’s $155 million in Q3 fees, highlighting the network’s activity in institutional financial workflows. DTCC’s launch adds another use case involving securities infrastructure and regulated financial institutions.
Tokenized securities can move between wallets around the clock
The service separates the conversion of securities into tokens from the transfer of already-tokenized assets.
Eligible firms can submit requests to convert traditional securities into tokenized form during business hours. DTCC is targeting processing times of 15 minutes or less. Once converted, tokens can move between registered blockchain wallets around the clock, subject to applicable compliance restrictions.
This does not mean traditional stock exchanges operate continuously or that every transaction can be converted into tokens at any hour. The availability of conversion, trading, and settlement depends on the service’s operating rules and the systems involved.
The ability to transfer tokenized securities outside conventional business hours could give financial institutions more flexibility when moving collateral or managing digital asset positions. DTCC also identifies improved liquidity, collateral mobility, and capital efficiency as intended benefits of the service.
Those benefits will depend on how institutions integrate the tokens into their financial operations and whether supporting markets and applications develop sufficient activity.
DTCC expands its work with institutional blockchain applications
The launch builds on DTCC’s broader work with financial institutions and blockchain technology providers. More than 150 firms contributed to its Digital Assets Solutions Industry Working Group, which helped shape the service’s design.
The platform is intended to connect existing securities infrastructure with digital asset applications while preserving established operational controls. Its development also follows a December 2025 no-action letter from the US Securities and Exchange Commission (SEC), which authorized a defined tokenization service for eligible DTC participants and their clients.
The service’s design allows institutions to convert eligible securities between traditional book-entry and tokenized forms. Maintaining this connection with the existing securities system is an important distinction from products that create independent tokens linked to stock prices.
Canton has also been involved in other institutional financial transactions. In October, DRW and Marex completed an OTC swap on Canton using a tokenized S&P index. The transaction demonstrated another application of the network in institutional markets, this time involving derivatives rather than DTCC’s custody-based securities tokens.
What comes next for DTCC’s tokenization service?
The initial launch establishes a live framework for eligible financial institutions to tokenize and transfer a defined set of securities. DTCC expects to add participants and expand its blockchain connectivity as the service develops.
Future work is expected to include additional networks and further support for the use of tokenized securities in financial workflows, including collateral management and settlement involving digital cash.
Adoption will depend on institutions integrating the service into their existing systems, the development of compatible applications, and the ability to move assets securely between traditional and tokenized environments.
For now, DTCC’s launch marks a new stage in the use of blockchain technology within established US securities infrastructure, with a defined group of assets and financial institutions moving from testing toward live operations.
