Morgan Stanley has begun tokenizing U.S. equities and Treasuries using the DTCC Tokenization Service. This platform, operated by the Depository Trust Co., launched on October 28 and allows eligible firms to convert securities into digital twins for use in digital wallets.
The service maintains original ownership rights and investor protections while enabling faster collateral movement and liquidity access. It currently operates on the Canton Network and a private Besu network, with plans to expand to additional blockchains by 2027.
Morgan Stanley is one of 20 initial participants, joining major institutions such as Bank of America, Citi, J.P. Morgan, Fidelity, Citadel Securities, and UBS. The DTCC developed the infrastructure with input from over 150 firms.
The initiative follows a regulatory approval process that began in December 2025, when the SEC issued a no-action letter permitting the tokenization of Russell 1000 stocks, index ETFs, and U.S. Treasuries.
