Nasdaq CEO Says Tokenization Could Free Up Idle Funds
At TOKEN2049 in Singapore, Nasdaq CEO Adena Friedman said tokenized equities and bonds on blockchain could improve market efficiency and unlock tens of billions in unused capital. She pointed to growing institutional interest, helped by U.S. stablecoin rules, and noted retail demand for round-the-clock trading. Friedman also said tokenization could simplify collateral movement for banks and financial institutions.
At TOKEN2049 in Singapore, Nasdaq's Adena Friedman argued that placing equities and bonds on blockchain could make markets more efficient and free up large sums now sitting unused. She linked rising institutional appetite to U.S. stablecoin legislation and noted retail investors' desire for all-hours trading. Kraken's Arjun Sethi added that non-U.S. firms are eyeing tokenization to reach American capital markets.
Tokenized stock value reportedly climbed 473% this year to $3.75 billion. Ondo, xStocksFi, and Binance bStocks led issuance, while Securitize's SECZ was the biggest single product. BNB Chain held the largest network share, ahead of Ethereum and Solana. Securitize launched Solana-based one-to-one ownership for 12 U.S. stocks, including Apple, Amazon, and Tesla.
If tokenization advances, investors, banks, brokers, and companies seeking capital may gain faster settlement and broader access. Retail traders could benefit from round-the-clock markets, though they may face new operational and custody risks. Financial institutions might move collateral more easily, potentially reducing idle balances. Society could see wider participation in markets, but outcomes depend on safeguards, transparency, and how regulators and platforms manage risks.