The US SEC has allowed the DTCC to custody and endorse tokenized stocks and other RWA assets on the blockchain.

PANews reported on December 12th, citing Bloomberg, that the U.S. Securities and Exchange Commission (SEC) granted a license to the Depository Trust and Clearing Corporation (DTCC) via a no-action letter, allowing the company to custody and endorse tokenized stocks and other real-world assets (RWAs) on a blockchain. This move enables DTCC to offer tokenization services on a pre-approved blockchain for a period of three years. SEC Commissioner Hester Peirce stated in a press release, “While the project is still in the pilot phase and subject to various operational limitations, it marks a significant step towards the market’s migration to on-chain.” Michael Winnike, Head of Global Strategy and Market Solutions for Clearing and Securities Services at DTCC, stated in an interview that with the license, DTCC will also extend its record-keeping operations to the blockchain.

As a core clearing and settlement center in the U.S. financial system, DTCC plays a vital role in the equity and fixed-income product markets. Many liquid assets in the U.S. market are held in custody by DTCC's custodian, Depository Trust Co. The company is expected to launch a new tokenization service in the second half of next year.