TLDR
- Nasdaq plans tokenized stocks and ETFs with the same rights as traditional shares.
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Kraken will distribute the tokenized securities to users in Europe and other markets.
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The framework targets an early 2027 launch but still needs SEC approval.
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Tokenized shares would share the same CUSIP and settle through current market rails.
Nasdaq is moving deeper into tokenized securities with Kraken as its new distribution partner. The plan would bring blockchain-based versions of stocks and ETFs to overseas investors.
The framework would give token holders the same rights as ordinary shareholders. Those rights include voting access and dividend payments under the same share structure.
The proposal is aimed at Europe and other global markets through Kraken’s network. The target launch is early 2027, but the model still needs approval from the U.S. Securities and Exchange Commission.
Nasdaq Builds on Earlier SEC Tokenization Proposal
Nasdaq’s latest move extends a filing it submitted to the SEC in September 2025. That proposal described how tokenized securities could trade beside traditional shares on the same order book.
Under that design, tokenized and traditional shares would use the same CUSIP identifier. They would also carry the same rights and benefits for shareholders. The exchange said participants could choose regular settlement or tokenized settlement at order entry. Clearing and settlement would still move through the Depository Trust system.
That structure keeps tokenized trading tied to existing market rails. It also keeps the plan close to current securities rules rather than creating a separate system.
Kraken Takes Role of Global Distribution Partner
Kraken is expected to serve as the global gateway for these tokenized securities. The exchange would distribute one-to-one tokenized versions of listed stocks and ETFs to customers outside the United States.
The Wall Street Journal reported that Nasdaq would distribute blockchain-based versions of public securities through Kraken. The arrangement adds a crypto-native access point to Nasdaq’s market structure plan.
Kraken already has experience in this market through its xStocks business. The firm offers tokenized exposure to U.S. equities and ETFs in select non-U.S. markets.
It has also expanded into tokenized equity products in recent months. In February, Kraken rolled out regulated perpetual futures tied to tokenized U.S. stocks for eligible non-U.S. users.
Governance Rights are Central to the Nasdaq Model
A key feature of Nasdaq’s plan is that tokenized shares would not strip away shareholder rights. Token holders would receive the same governance rights as holders of traditional stock.
That includes rights linked to proxy voting and dividend distributions. The Journal said Nasdaq wants to automate those functions through blockchain-based processes.
This point matters because some tokenized stock products have faced criticism for tracking the price of equities without giving full shareholder rights. Nasdaq’s structure aims to close that gap. The framework is also broader than Nasdaq-listed names alone. Reports said it could cover issuers that opt in, not only companies already listed on Nasdaq.
SEC Approval Remains the Main Step Before Launch
The plan still depends on regulatory clearance in the United States. SEC staff said in January 2026 that tokenized securities remain subject to federal securities laws. That means any launch will need approval under the current legal framework. Nasdaq’s rule proposal remains part of that process, and the 2027 date is still a target rather than a final start date.
Recent policy signals have been more open to tokenized securities. Last week, U.S. banking regulators said banks would not face extra capital charges for tokenized securities versus traditional ones.
Even so, the Nasdaq-Kraken plan now stands as one of the clearest efforts to connect exchange infrastructure with crypto distribution. That keeps tokenized stocks in focus ahead of 2027.
