The Depository Trust & Clearing Corporation (DTCC), the entity handling the invisible wiring of U.S. markets, claims it is getting ready to slap digital wrappers on all 1.4 million securities currently sitting in its vault. This move deepens the industry's obsession with tokenization and tests just how far this tech can stretch before snapping in the U.S. capital markets. While DTCC’s tokenization engine—cobbled together after swallowing Securrency in 2023—was already public knowledge, a fresh take from DTCC President of Clearing and Securities Services Brian Steele on Thursday suggests the ambition is significantly less modest than previously advertised.
“Our goal is to eventually enable investors to access the entirety of the market of DTC-eligible securities, which is roughly about 1.4 million CUSIPs, to become digitally eligible and have been onboarded through direct registration,” Steele said during a panel that also featured Nadine Chakar, DTCC’s global head of digital assets. This implies a future where equities, mutual funds, fixed income, and other instruments could all be shuffled onto the chain—at least in tokenized form—whenever the mood strikes. The rollout is strictly opt-in, meaning assets won't be forcibly dragged into the digital era kicking and screaming.
However, DTCC is constructing the plumbing to let participants convert securities into tokenized formats and back again in roughly 15 minutes. The setup allows clients to dip into decentralized finance strategies or 24/7 settlement rails while keeping one foot firmly planted in traditional liquidity. Tokenized assets will retain existing ownership rights, legal protections, and bankruptcy treatment, ensuring the lawyers remain employed. “We are not dictating which wallet or blockchain clients should use,” Chakar said. “Everything we’re doing is to meet them where they are.”
First Focus: Collateral While the grand vision is expansive, DTCC is kicking things off with a use case that actually has legs right now: collateral optimization. By enabling atomic settlement and 24/7 movement of collateral, DTCC hopes to help firms unlock new financing plays and shift capital more efficiently across regions and time zones. Tokenized cash—via stablecoins or deposits—will also get a seat at the table. “Collateral is the first port of call,” Steele said. “It’s where we see real, measurable impact today.”
No Bridges, More Standards DTCC also took a hard line against blockchain bridges, citing the usual security headaches that keep CISOs up at night. Instead, tokens will be burned and reissued when moved between chains, all under the watchful eye of DTCC’s orchestration layer. Chakar hammered home the need for interoperability built on standards, not just duct-taped connections. “What we do have today is interconnectivity, and it’s really not the same, but we’re on a journey, and we are definitely committed to working with the industry to get there.”
With one of the largest troves of financial assets on the planet, DTCC’s tokenization roadmap could reshape the post-trade landscape—not by reinventing the market, but by digitizing what’s already sitting on the shelves. “Tokenization has moved from talking points to proof points,” Chakar said. “Now we’re building production infrastructure — and it’s not theoretical.”
