Nasdaq said it will work with cryptocurrency exchange Kraken to develop a system for issuing and trading tokenized versions of stocks and other exchange-traded products, according to a Wall Street Journal report.
Under the plan, the tokenized shares would give investors the same corporate governance rights as ordinary shareholders, including proxy voting and receiving dividends. Nasdaq said the initiative will largely focus on making corporate actions, such as dividend payments and proxy voting, more efficient by automating parts of the process through blockchain technology. The platform is expected to launch in early 2027.
Kraken will act as a distribution partner for the project. Through the deal, one-to-one tokenized versions of public company shares would be made available to Kraken customers outside the United States, particularly in Europe and other international markets.
The effort builds on a proposal Nasdaq submitted to the U.S. Securities and Exchange Commission in September seeking approval to allow tokenized versions of its listed stocks and exchange-traded products to trade alongside traditional stocks on the exchange.
In that proposal, both the tokenized and conventional versions would be settled through the Depository Trust to ensure they remain interchangeable.
Last week, exchange operator ICE made a strategic investment in OKX, valuing the exchange at $25 billion, and signed a deal to offer new tokenized stocks and crypto futures products.
