Ava Labs said on Monday, November 9, that Avalanche will provide the core ledger technology for the clearing firm behind the NYSE-affiliated tokenized securities platform, according to the official announcement. The platform is designed for 24/7 trading, clearing and settlement, subject to regulatory approvals.
What the platform does
NYSE had previously announced that an affiliate is developing a new digital ATS for trading and onchain settlement of tokenized securities. Avalanche will provide the dedicated infrastructure on which tokenized equities are cleared, at institutional scale.
Emin Gün Sirer, CEO and founder of Ava Labs, said the platform "shows why this model matters for capital markets." According to him, the dedicated infrastructure will give the platform's subscribers:
- 24/7 atomic settlement
- Predictable performance and costs
- Control over who can participate, to meet regulatory and operational requirements
- Connectivity to a broader ecosystem of assets and liquidity
- Issuance and settlement onchain "at the scale global markets demand"
Why Avalanche
Dennis Lee, Head of Digital Issuance at NYSE, said the exchange is looking at how blockchain can expand what it offers in equities and is "picking the right technology for each job."
The platform will support equities listed on a range of blockchains, but the ledger that records and settles trades has to meet four conditions:
- Be fast and reliable
- Let NYSE control who can take part
- Keep costs predictable
- Have a large developer community behind it
"Avalanche meets all those needs," Lee said in the same release.
What changes versus earlier projects
Ava Labs says blockchain work in capital markets has for years centered on individual products: tokenized funds, limited pilots and one-off issuances. In this case, Avalanche underpins the infrastructure on which products are issued, traded and settled, not just a single tokenized asset.
The release describes Avalanche as a blockchain platform that lets institutions and businesses launch purpose-built networks and applications. Ava Labs, headquartered in New York and backed by Andreessen Horowitz (a16z), lists JPMorgan Chase, Apollo, FIFA and the state of Wyoming among the organizations building on Avalanche.
AVAX after the announcement
Metric | Value |
|---|---|
AVAX price | $8.97 |
24h change | +8.8% |
7d change | +4.6% |
Market cap | $4.0B |
24h volume | $472.4M |
All-time high | $144.96 |
Data from CoinGecko as of Monday, 16:00 UTC.