Nasdaq Inc. has announced a strategic partnership with cryptocurrency exchange Kraken to develop and launch a platform for issuing and trading tokenized versions of stocks and other exchange-traded products. According to a report from The Wall Street Journal, the initiative aims to create a system where tokenized shares grant investors identical corporate governance rights as traditional stockholders, including the ability to vote in proxy ballots and receive dividends.
The collaboration will focus heavily on leveraging blockchain technology to automate and streamline corporate actions, such as dividend payments and proxy voting, making these processes more efficient. The platform is scheduled to launch in early 2027, with Kraken acting as the primary distribution partner. Through this arrangement, one-to-one tokenized versions of public company shares will be made available to Kraken's customer base outside the United States, with a particular focus on Europe and other international markets.
This effort builds upon a formal proposal Nasdaq submitted to the U.S. Securities and Exchange Commission (SEC) in September. The proposal seeks regulatory approval to allow tokenized versions of its listed stocks and exchange-traded products to trade alongside traditional shares on the exchange. A key component of the plan is that both tokenized and conventional share versions would be settled through the Depository Trust & Clearing Corporation (DTCC), ensuring they remain fully interchangeable and maintain parity.
The news follows a similar industry move last week, where exchange operator Intercontinental Exchange (ICE) made a strategic investment in crypto exchange OKX, valuing it at $25 billion, and signed a deal to offer new tokenized stocks and crypto futures products.
