BlackRock-backed Securitize and global transfer agent Computershare have announced a partnership to bring parts of the $70 trillion U.S. stock market onto the blockchain. The agreement allows publicly listed companies to issue tokenized equity, known as Issuer-Sponsored Tokens (ISTs), alongside traditional shares, offering investors the option to hold stock through conventional systems or in a digital wallet.
What Are Issuer-Sponsored Tokens (ISTs)? ISTs are designed to represent direct ownership of a company's shares on a blockchain. According to Securitize CEO Carlos Domingo, "ISTs do not rely on derivative tokens that sit on top of underlying shares. They provide U.S. issuers with the ability to create direct equity ownership in token form." Each token corresponds to one share of common stock and is legally recognized as a security, issued under SEC regulations.
The Role of Transfer Agents Computershare, which serves more than 25,000 companies and acts as a transfer agent for about 58% of the S&P 500, will manage the tokenized shares just as it does traditional ones. This includes maintaining shareholder records, processing dividends, stock splits, and other corporate actions across both formats. The integration at the transfer agent layer is key, as it avoids common crypto workarounds where tokens represent claims on shares rather than the shares themselves.
Hybrid Model for Investors Investors will have the flexibility to hold ISTs in self-custodial digital wallets, exchange-based wallets, or continue using traditional brokerage accounts. This hybrid model bridges the gap between old and new financial systems, reducing friction for institutional investors while opening doors for those who prefer digital assets. Benefits include 24/7 access, faster settlement, fractional ownership, and programmability via smart contracts for automated compliance checks, dividend payments, and voting rights.
Strategic Timing and Industry Context The partnership arrives amid growing regulatory clarity from the U.S. Securities and Exchange Commission (SEC) regarding digital asset securities. "Our focus has been to empower U.S.-listed companies to issue tokenized equity while retaining control," said Ann Bowering, CEO of issuer services at Computershare North America. The companies expect the first tokenized stock issuances within the next 12 months, initially targeting private placements and exempt offerings, with public company issuances to follow once the SEC provides additional guidance.
Market Impact This effort could reshape the $70 trillion U.S. equity market by increasing liquidity, lowering fees through reduced intermediaries, and providing global access to U.S. stocks without requiring a U.S. brokerage account. Securitize and Computershare are also working with existing stock exchanges to create a secondary market for ISTs, allowing them to be traded alongside traditional stocks.
