Tokenization specialist Dinari and broker-dealer tZERO are working together to offer broker-dealers a turnkey platform for tokenized U.S. equities, as competition intensifies over how public stocks should move onto blockchain networks.
The companies said Wednesday they will combine Dinari’s tokenized stock platform with tZERO’s brokerage, custody, clearing and settlement infrastructure, allowing financial firms to launch blockchain-based equity offerings without assembling the underlying market infrastructure themselves.
“Tokenized equities won’t reach mainstream adoption until broker-dealers can offer them as naturally as they offer traditional securities,” Dinari CEO Gabriel Otte said in a statement.
The move comes as tokenized equities emerge as the next battleground in real-world assets. After U.S. Treasury funds became the first institutional trend for tokenization, firms are increasingly turning to public stocks, betting blockchain can modernize trading, settlement and shareholder recordkeeping.
Some firms, such as Robinhood and Kraken’s xStocks initiative, focus on creating blockchain-based representations of publicly traded shares via offshore structures, often called synthetic tokens, offered to non-U.S. investors.