The Depository Trust Company (DTC), a subsidiary of the Depository Trust & Clearing Corporation (DTCC), launched its Tokenization Service (DTS) on October 28, 2026. The service creates 1:1 tokenized representations—or digital twins—of securities already held in DTC custody, allowing 24/7 peer-to-peer transfers between registered wallets while preserving the same CUSIP identifiers, ownership rights, investor protections, and economic entitlements as traditional book-entry holdings.

At launch, 34 securities are eligible, primarily large-cap Russell 1000 stocks, major index ETFs, and U.S. Treasury bills, notes, and bonds. These represent roughly $30 trillion in market value out of the more than $114 trillion in assets under DTC custody. The service operates on the public Canton Network and DTCC’s private Besu network, with additional chains (including Stellar and Circle’s Arc) planned for 2027. Transfers between registered wallets on the same network effectively settle immediately, removing the traditional T+1 wait for those positions.

Twenty DTC participants have signed access agreements, including JPMorgan, Citi, Morgan Stanley, Bank of America, Fidelity Investments, Citadel Securities, Barclays, UBS, State Street, and BNP Paribas, along with others such as Alpaca, Apex Clearing, and Clear Street. Additional participants will be onboarded on a rolling basis. The launch follows limited production trades in July 2026 involving more than 30 firms and builds on a December 2025 SEC staff no-action letter that authorizes the service for a defined set of assets for three years.

DTCC President and CEO Frank La Salla described the launch as the culmination of years of work to bring tokenized securities into a regulated framework supported by trusted market infrastructure. “By extending DTC’s resiliency, governance and operational standards into digital markets, we are establishing the foundation for responsible institutional adoption at scale,” he said. The approach keeps assets within DTC’s existing custody and legal framework while enabling greater collateral mobility and capital efficiency.

Industry observers view the development as a major milestone for institutional adoption of blockchain infrastructure in U.S. capital markets. By tokenizing entitlements rather than moving the underlying securities out of traditional custody, the service aims to deliver 24/7 functionality and improved collateral mobility without disrupting the core protections of the existing market structure.