DTCC Gets SEC Approval to Tokenize Stocks and Treasury Bonds Starting 2026 - The Mainstream Wall Street On-Chain Invasion Begins

The vault doors are officially opening. The Depository Trust & Clearing Corporation (DTCC), the $50-trillion plumbing of the U.S. financial system, just got the green light from the SEC. The mission? To start tokenizing stocks and U.S. Treasury bonds on a blockchain. The timeline? 2026. This isn't a crypto startup's pitch deck—it's the establishment flipping the script.

From Settlement Sludge to Instant Liquidity

Forget T+2. The traditional settlement cycle—that two-day lag where money and assets float in limbo—is about to get a blockchain bypass. Tokenization promises near-instantaneous settlement. That means capital isn't stuck; it's working. For traders and institutions, it slashes counterparty risk and unlocks liquidity that was previously tied up in administrative purgatory. The DTCC isn't just dipping a toe in; it's building the on-ramp for the entire legacy system.

Why Treasuries Are the First Domino

Starting with U.S. Treasury bonds is a masterstroke. They're the world's safest, most liquid asset. Tokenizing them creates a pristine, blockchain-native collateral that can flow seamlessly into DeFi protocols, serve as backing for stablecoins, or settle massive institutional trades in seconds. It's the ultimate bridge asset, and the DTCC will be its mint. Once this foundation is set, tokenizing equities becomes a logical—and inevitable—next step.

A New Era of Programmable Finance

This move goes beyond faster settlements. Tokenized assets are programmable. Imagine auto-executing corporate actions like dividends, enabling complex conditional trades, or fractionalizing ownership of previously illiquid assets. The infrastructure for a new financial architecture is being blueprinted by the very entity that maintains the old one. The irony is delicious—the ultimate incumbent is building the rails for its own potential disruption.

The 2026 countdown is on. The DTCC's move validates the entire tokenization thesis, sending a signal to every major bank and asset manager that the future is on-chain. They'll follow because they have to. The race to digitize the world's wealth just shifted from the fringe to the very core. And somewhere, a legacy banker is desperately trying to explain to his boss what a 'digital bearer asset' really means—probably right before they hire a team of crypto natives to figure it out for them.

TLDR

• The SEC granted DTCC’s subsidiary DTC a no-action letter to tokenize US securities including Russell 1000 stocks, ETFs, and Treasury bonds
• The tokenization service will launch in the second half of 2026 and operate on pre-approved blockchains for three years
• Tokenized assets will maintain the same ownership rights and investor protections as traditional securities
• The SEC has issued several no-action letters recently, showing increased openness to blockchain financial infrastructure under Chair Paul Atkins
• Research suggests RWA tokenization could tap into a $400 trillion traditional finance market, with tokenized assets potentially reaching $16 trillion by 2030

The US Securities and Exchange Commission has approved the Depository Trust and Clearing Corporation to begin tokenizing major financial assets. The DTCC received a no-action letter on Thursday for its subsidiary, the Depository Trust Company.

In an historic milestone, DTC received a No‑Action Letter from the SEC to tokenize certain DTC‑custodied assets. By leveraging blockchain, DTCC aims to bridge TradFi and DeFi, advancing a more resilient, inclusive and efficient global financial system. https://t.co/yYNaHfvjcS pic.twitter.com/E4W47rWBIc

— DTCC (@The_DTCC) December 11, 2025

The approval allows DTC to tokenize securities in a controlled production environment. This marks a shift in how traditional financial assets may operate on blockchain technology.

The DTCC plans to tokenize assets from the Russell 1000 index, exchange-traded funds tracking major indexes, and US Treasury bills, bonds, and notes. The service will launch in the second half of 2026.

The tokenization program will run on pre-approved blockchains for three years. DTC participants and their clients will have access to the service.

A no-action letter means the SEC will not pursue enforcement action if the program operates as proposed. These letters are rare and represent a FORM of regulatory approval.

Tokenized Assets Will Match Traditional Securities

The DTCC stated that tokenized versions of these assets will carry identical ownership rights and investor protections as traditional securities. This ensures legal parity between digital and physical forms of the same asset.

DTCC CEO Frank La Salla thanked the SEC for approving the program. He said tokenizing the US securities market could bring benefits like collateral mobility, new trading options, 24/7 market access, and programmable assets.

The DTCC operates critical market infrastructure for US securities. The organization handles clearing, settlement, and trading operations for the American financial system.

SEC Shows Growing Support for Blockchain Finance

The SEC has issued multiple no-action letters in recent months. Two decentralized physical infrastructure network projects received similar letters earlier this year.

In late September, the SEC cleared investment advisers to use state trust companies as crypto custodians. This marked another step in regulatory clarity for digital assets.

SEC Chair Paul Atkins has taken a more measured approach to crypto regulation. Atkins previously worked as a crypto lobbyist before leading the agency.

Research from Animoca Brands suggests RWA tokenization could access a $400 trillion traditional finance market. The study looked at private credit, treasury debt, commodities, stocks, alternative funds, and bonds.

Standard Chartered’s venture arm backed Libeara, a blockchain infrastructure platform, recently launched a tokenized Gold investment fund in Singapore. The fund allows professional investors to access gold through blockchain-based tokens.

The 2025 Skynet RWA Security Report projects the tokenized RWA market could reach $16 trillion by 2030. This growth WOULD represent a massive expansion of blockchain-based financial products.