Morgan Stanley tokenizes US stocks and Treasurys on DTCC's new rails

Morgan Stanley has started tokenizing US equities and Treasurys through the Depository Trust & Clearing Corporation's new tokenization service, making it one of the first banks to push real-world assets onto the new rails. The bank announced the move in an X post. Amy Oldenburg, Morgan Stanley's head of digital assets strategy, said the hands-on work of wiring tokenized securities into established market infrastructure will inform how the firm keeps building out its digital asset capabilities as the market evolves.

DTCC's depository subsidiary, DTC, runs the service and custodies a staggering $114 trillion in assets. It launched last week with 20 participants already signed up, a list that includes Bank of America, Barclays, BNP Paribas, Citi, Fidelity Investments, JPMorgan, State Street and UBS. More users are expected to onboard on a rolling basis. DTCC said the service was built with input from more than 150 firms and initially supports Canton along with its private Besu network.

Morgan Stanley's own plans to support tokenized equities on its alternative trading system have slid to the first quarter of 2027, a delay from its earlier second-half 2026 target. Oldenburg told The Block last month that the bank was assembling the infrastructure needed for that push.

The bank isn't racing alone. The New York Stock Exchange and its parent, Intercontinental Exchange, are also moving forward with plans for a tokenized trading platform. Broadridge, Computershare, Equiniti and Superstate have each signed agreements to serve as transfer agents, signaling that the plumbing around tokenized securities is filling in fast.