Securitize wins FINRA approval for tokenized IPO underwriting and custody

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Securitize FINRA tokenized IPO approval

Highlights

Securitize received FINRA approval to underwrite tokenized IPOs and secondary offerings, enabling full-stack onchain IPO infrastructure and tokenized securities custody via Securitize Markets.
The approval allows atomic settlement of tokenized securities and cash within Securitize’s trading system, simplifying trading and eliminating traditional multi-step account structures.
Securitize is advancing public-market partnerships with Computershare and NYSE, and plans to go public via a SPAC merger with Cantor Equity Partners II by H1 2026 under the CEPT ticker on Nasdaq.

Expanded broker-dealer role for tokenized offerings

According to The Block, Securitize said FINRA has approved an expansion of its broker-dealer activities, allowing the firm to act as an underwriter for tokenized IPOs and secondary offerings and making it what it describes as the first full-stack onchain IPO infrastructure provider.

The approval also lets the company custody tokenized securities through its Securitize Markets broker-dealer subsidiary. President Brett Redfearn said the new underwriting and selling group approvals strengthen the firm’s ability to help issuers tokenize securities during the IPO process, as the case for listed and prospective public companies to tokenize stock becomes more compelling.

Securitize had signaled its tokenized shares strategy late last year through its Stocks on Securitize initiative, which it said would offer regulated shares recorded on an issuer’s cap table with full shareholder rights, including dividends and proxy voting. The custody approval was granted through FINRA’s Continuing Membership Application process, which is used to oversee broker-dealers adding new business capabilities.

Market implications for tokenized equity trading

Chief Executive Carlos Domingo said bringing custody of tokenized securities into the broker-dealer is a foundational step because it allows atomic settlement between securities and cash equivalents within the firm’s alternative trading system. Securitize said that process can replace a historically complex multi-step structure involving separate accounts and intermediaries.

The move comes as tokenization draws broader interest across capital markets, including from institutions such as the New York Stock Exchange, while some analysts expect tokenized assets to reach trillions of dollars over the next decade. Securitize recently worked with Currenc Group Inc. to tokenize its stock, aiming to support round-the-clock trading, fractional ownership and possible DeFi use cases.

The company is also advancing other public-market partnerships. Last week it partnered with Computershare to help public companies issue tokenized share versions alongside traditional shares, and it is helping develop NYSE’s 24/7 tokenized securities platform. Separately, Securitize is in the process of going public through a SPAC merger with Cantor Equity Partners II, with the combined company expected to trade on Nasdaq under the CEPT ticker after the deal closes in the first half of 2026.

In our earlier coverage of DTCC’s DTC tokenization service rollout, we explained how the post-trade infrastructure provider is preparing a pilot for tokenized securities trades in July 2026, ahead of a broader launch planned for October 2026 with participation from dozens of financial firms. The piece also noted that the service is designed to let firms tokenize DTC-custodied real-world assets while preserving traditional investor protections, supported by a time-limited SEC no-action position covering a defined set of highly liquid assets.

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