Morgan Stanley states it stands among the initial banking institutions to adopt a novel Wall Street tokenization platform, converting United States equities and Treasury bonds into blockchain-based digital assets.
The financial institution noted via a social media update on X that it initiated tokenization following the deployment of the Depository Trust & Clearing Corporation’s Tokenization Service, known as DTS. DTCC serves as the primary clearing and settlement organization for the majority of American stock and bond transactions. The platform officially debuted on October 28.
Amy Oldenburg, who leads digital asset strategy at Morgan Stanley, indicated that this practical involvement will help guide the institution’s future product roadmap.
“The hands-on experience of integrating tokenized securities with established market infrastructure will inform the continued development of the firm’s digital asset capabilities as the market evolves,” Oldenburg explained.
Tokenization involves generating a digital representation of a security capable of round-the-clock trading on a blockchain network.
Through DTS, the Depository Trust Company subsidiary of DTCC issues tokens that correspond to assets it currently safeguards. DTCC notes that these tokens preserve the identical ownership entitlements and safeguards inherent to conventional securities. Participants have the ability to convert back and forth between both formats and transfer tokens directly into personal digital wallets.
DTCC asserts that asset tokenization enhances market liquidity, streamlines collateral mobility, and optimizes capital utilization. The infrastructure operates across two distinct distributed ledgers: Canton and a private Besu network managed by DTCC, with additional integrations anticipated throughout 2027. The regulatory approval for the initiative was granted via a no-action letter from the Securities and Exchange Commission in December 2025. The program encompasses Russell 1000 equities, index-tracking exchange-traded funds, and government treasuries.
To date, twenty institutions have enrolled in the offering, featuring prominent names such as Morgan Stanley, J.P. Morgan, Citi, Bank of America, Fidelity, and Citadel Securities.
CoinDesk contacted Morgan Stanley for a statement but received no reply prior to publication.
Originally published at https://www.coindesk.com/markets/2026/11/04/morgan-stanley-says-it-is-among-the-first-banks-to-put-u-s-stocks-and-treasuries-on-a-blockchain.
