A US exchange is pushing forward with plans to bring tokenized equities into regulated trading, as 24X National Exchange filed a proposal with the Securities and Exchange Commission. The move would allow certain stocks and exchange-traded funds to trade in tokenized form, marking another step in testing blockchain-based infrastructure in traditional markets.

Proposal Targets Tokenized Stocks and ETFs

24X submitted the rule change on June 11, seeking to update its trading rules to support tokenized securities. The proposal outlines how the exchange would handle trading, access, and order routing for these instruments.

Keep reading: Tokenised Stocks Jump 30× as Platforms Explore 24/7 Equity Trading

Tokenized equities Equities Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling pa Equities can be characterized as stocks or shares in a company that investors can buy or sell. When you buy a stock, you are in essence buying an equity, becoming a partial owner of shares in a specific company or fund.However, equities do not pay a fixed interest rate, and as such are not considered guaranteed income. As such, equity markets are often associated with risk.When a company issues bonds, it’s taking loans from buyers. When a company offers shares, on the other hand, it’s selling pa Read this Term on a venue like 24X could extend practical access to US stocks beyond the traditional cash session. That matters most for international retail traders who want to trade U.S. names in their local time zones without relying on offshore or lightly regulated platforms.

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For many retail traders, the front‑end experience may look similar: a broker or app interface that routes orders into tokenized versions of familiar tickers. The bigger change happens behind the scenes in how trades clear, settle and are recorded, which could eventually support faster settlement and more seamless movement of assets between platforms and wallets.

24X said the initiative supports its goal of expanding access to US markets. “Facilitating the trading of U.S. equities in tokenized form on 24X will advance these efforts,” said Founder and CEO Dmitri Galinov, adding that the exchange will engage with the SEC during the review process.

If approved, eligible members of the exchange Exchange An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv An exchange is known as a marketplace that supports the trading of derivatives, commodities, securities, and other financial instruments.Generally, an exchange is accessible through a digital platform or sometimes at a tangible address where investors organize to perform trading. Among the chief responsibilities of an exchange would be to uphold honest and fair-trading practices. These are instrumental in making sure that the distribution of supported security rates on that exchange are effectiv Read this Term would be able to trade tokenized versions of Russell 1000 stocks and major index ETFs. Trades would clear and settle through the Depository Trust Company, which is running a pilot program for tokenized securities.

The initiative follows a similar move by Nasdaq, which already received approval for its own tokenization-related proposal. This suggests that US exchanges are starting to test how tokenized assets can fit within existing market structures.

Linked to DTC Pilot Program

The plan depends on a pilot run by the Depository Trust Company under an SEC no-action letter issued in 2025. The program allows tokenized versions of traditional securities to be issued and processed without changing their legal status.

This means the assets remain standard equities, while the tokenized layer aims to improve how trades are recorded and settled. The pilot structure allows regulators and market participants to test the model before any broader rollout.

Read more: Tokenisation is no longer optional: Why brokers must prepare for the next evolution of financial markets

The filing comes as 24X also prepares to extend its trading hours. The exchange plans to move from 16-hour sessions to 23-hour weekday trading later this year, aiming to serve global participants more effectively. Nasdaq and the NYSE have already moved in the same direction, so 24X is stepping into a pattern that is now becoming a playbook rather than a novelty.

Taken together, those moves show that tokenization is shifting from experiment to incremental market-structure upgrade on the incumbent venues, with DTC acting as the common plumbing.