NASDAQ Proposes Amendments To Allow For The Trading Of Digital Assets
On September 8, 2025, in the newest in a series of proposed rule amendments, Nasdaq has proposed amendments to enable the trading of digital assets, including tokenized securities. The purpose of the rule change is to clearly establish that brokers and investors can trade tokens on the Exchange. To effectuate the amendment, Nasdaq is proposing to (i) add blockchain backed equities, including tokenized securities, to the definition of a “security,” (ii) update order entry and routing procedures to include tokenized securities; and (iii) update book processing to align tokenized securities with the same clearance and settlement priority as traditional securities.
Background
Over the years, U.S. equity markets have transformed to support technological innovations including, for example, moving from paper to electronic securities, shortening settlement cycles, instant price dissemination, and allowing for algorithmic electronic trading. Tokenization, which involves recording securities transactions using digital ledger blockchain technology, is such an innovation. Nasdaq believes that as long as the use of