Securitize (which has announced a proposed business combination with Cantor Equity Partners II, Inc., the leading platform for tokenizing real-world assets, announced it received approvals from FINRA that enable a significant expansion of its broker-dealer activities through its subsidiary, Securitize Markets, LLC, a member of FINRA.

The expanded approval was just granted through FINRA’s Continuing Membership Application (CMA) process, which is required for broker-dealers to introduce new business lines or material capabilities. Through this process, Securitize Markets is now the first company to be approved to custody tokenized securities in a regular broker-dealer, enabling it to facilitate atomic swaps and clear and settle transactions between tokenized securities and stablecoins onchain. The approval also permits Securitize Markets to be an underwriter and selling group participant for both initial and secondary tokenized securities offerings.

This milestone represents a major advancement for regulated digital asset markets, unlocking real-time, onchain settlement within a fully regulated broker-dealer framework and enhances Securitize’s trading and distribution capabilities for tokenized securities.

Historically, these transactions required a multi-step, operationally complex process across separate accounts and intermediaries. By bringing custody and execution into the broker-dealer, Securitize can now enable these exchanges to occur in a single, seamless transaction, significantly reducing friction and settlement risk.

“Bringing custody of tokenized securities into the broker-dealer is a foundational unlock,” said Carlos Domingo, Co-Founder and CEO of Securitize. “It allows us to facilitate atomic settlement transactions between securities and cash equivalents within our broker-dealer ATS, eliminating the need for fragmented processes and enabling markets to operate with the speed and efficiency of blockchain infrastructure within a regulated environment.” 

Brett Redfearn, President of Securitize, added, “The underwriting and selling group approvals greatly enhance our capabilities to assist tokenizing securities during the IPO process.  The case for new and existing publicly traded companies to tokenize stock continues to get more compelling. We’re excited about what comes next.”

To learn more about how Securitize is enabling the next generation of onchain capital markets, and the expanded opportunity for companies to issue equity onchain visit: https://securitize.io/investments/stocks

Source: Securitize