Morgan Stanley is one of 20 DTC participants that signed agreements to access the DTCC Tokenization Service (DTS), which the depository launched on October 28, 2026 with more than $114 trillion in assets under custody. Securities held at DTC can now be converted into on-chain "digital twins" that keep the same rights as the traditional form.
What the service does
DTS mints tokenized representations of securities held at DTC. Eligible participants can convert securities between traditional and tokenized form and deliver them to the digital wallet of their choice.
- Tokenized securities keep the ownership rights, investor protections and economic entitlements of their traditional counterparts
- The service is integrated with the Canton Network and DTCC's private Besu network
- Additional blockchain networks are due to be added in 2027
- DTCC says the service lets firms mobilize collateral within minutes
Who signed up
So far, 20 DTC participants have signed agreements to access DTS. Future users will be onboarded on a rolling basis.
- Alpaca, Apex Clearing Corporation, Barclays, Bank of America, BNP Paribas
- Brown Brothers Harriman, Citadel Securities, Citi, Clear Street, DriveWealth
- Edward Jones, Fidelity Investments, Interchange Clearing, J.P. Morgan, Marex
- Mirae Asset Securities (USA), Morgan Stanley, State Street, UBS, Velocity Capital
The legal basis
In December 2025, DTC received a No-Action Letter from the SEC authorizing it to tokenize Russell 1000 constituents, ETFs tracking major indices and US Treasury securities. According to the DTCC FAQ, the authorization runs for three years and the service is voluntary.
About seven months after the SEC letter, DTCC and more than 30 firms completed initial limited-production trades and multiple on-chain transactions. The service was built with input from more than 150 firms in the DTC Digital Assets Solutions Industry Working Group.
The ecosystem around DTS
Beyond the direct participants, DTCC convened wallet providers, applications and technology firms to support interoperability. The list of collaborators and partners has 17 names.
- BitGo Bank & Trust, Blockdaemon, Broadridge, DFNS, DRW, Fireblocks
- HIFI, Kaleido, Matter Labs, Ondo, Prometheum Capital, Talos
- Taurus, Temple Digital Group, Tradeweb, Transcend, Virtu
DTCC CEO Frank La Salla said the launch marks "the culmination of years of work to bring tokenized securities into a regulated framework." Nadine Chakar, Global Head of DTCC Digital Assets, called it "only the beginning" of DTCC's goal to bridge established market infrastructure with digital ledger technology.