Formation Securities LLC has formally notified the U.S. Securities and Exchange Commission that it intends to operate a tokenized securities venue on Solana, marking what the firm describes as the first venue of its kind on a public, permissionless blockchain. Trading is targeted to begin in early 2027, with tokenized shares of Exodus Movement, Inc. (EXOD), Forward Industries, Inc. (FWDI) and Galaxy Digital Inc. (GLXY) anticipated to be available at launch.
The venue will operate under the SEC's Innovation Exemption, which permits conditional secondary trading of eligible tokenized stocks through permissioned automated market maker liquidity pools on qualifying venues. Eligible tokenized stocks must provide the same rights and privileges as traditional shares, including voting and dividend rights. Verified investors will be able to hold tokenized shares in digital wallets and trade them around the clock against stablecoins and other eligible assets, with each trade settling atomically onchain to reduce settlement risk.
Access is expected through the Formation Securities platform and additional distribution channels, including Alpaca, Passage by CoinList, Jito’s trading interface JTX, and onchain wallet providers Solflare and Squads. Custodians include Anchorage Digital Bank, BitGo Bank & Trust and Fireblocks. Service providers at launch will include Predicate, Sec3, Solidus Labs and TRM Labs.
Formation Securities president Christopher Montagano said: “Tokenized stocks will succeed only if public companies see the value in them, and we intend to build this market together with issuers. Formation Securities is designed to give issuers and investors a new, transparent market, with trading beyond traditional market hours and faster settlement onchain, while preserving the key rights shareholders enjoy in the traditional financial space.”
The project builds on Project Open, a proposal submitted in April 2025 by a coalition including Orca, Superstate and the Solana Policy Institute to the SEC’s Crypto Task Force. That earlier work helped inform the SEC’s Innovation Exemption released in September 2026. Formation chose Solana for its reliability, speed, low cost and established track record with tokenized assets. Solana is home to more than $5 billion in tokenized real-world assets, and transactions settle in seconds at a fraction of a cent. Orca's AMM technology, which has processed more than $550 billion in digital asset trades as of October 31, 2026, is being licensed for the venue.
Superstate and Securitize are expected to make tokenized shares available on the venue. Securitize CEO Carlos Domingo said its Convertible Entitlement Tokens are backed by real shares held by its broker-dealer, carry the same rights as those shares, and are held only by verified investors. Superstate co-founder and CEO Robert Leshner called the development a huge step for public markets.
The announcement follows a related push by OKXICE, a joint venture between crypto exchange OKX and NYSE parent Intercontinental Exchange, to list and trade tokenized shares under the SEC's Innovation Exemption. That platform is not yet live and has faced objections from 67 firms regarding the tokenization of their shares. Formation said it plans to work directly with issuers to build the market.
