#What is the new proposal from 24X National Exchange?
24X National Exchange has submitted a proposed rule change to the SEC, which aims to facilitate trading of tokenized versions of Russell 1000 stocks and ETFs. This filing, identified as SR-24X-2026-20, was officially sent on June 11 and brought to the SEC's attention by June 16. This initiative positions 24X as a pioneering platform in utilizing blockchain technology for stock trading.
#How does the rule change benefit trading?
The proposed regulation allows members of 24X to trade tokenized versions of DTC-eligible securities integrated within a unified order book. Instead of having a separate and fragmented marketplace for tokenized shares, investors will have the opportunity to trade these alongside traditional stocks, which enhances liquidity and market efficiency. This approach focuses on providing a substantial trading universe, incorporating the largest publicly traded companies in the U.S., as represented by the Russell 1000 index and significant ETFs.
#What does this mean for access to equity markets?
In his discussion about the filing, CEO Dmitri Galinov emphasized that this move contributes to improving global access to equity markets. The integration of tokenized securities can open new channels for investment and serve a wider range of investors.
#How is 24X following the lead of major exchanges?
The move by 24X is aligned with recent decisions made by leading U.S. exchanges. Nasdaq received approval for a similar rule change concerning tokenized securities in March 2026, followed by NYSE in April. With 24X now seeking similar approval, it aims to align its operations with the framework already accepted by the largest U.S. exchanges.
#What regulatory developments support this initiative?
The groundwork for this proposal was laid in December 2025 when the SEC issued a no-action letter that allowed for a pilot program of tokenized securities via the DTC. This program is set to launch in July 2026, with participation from prominent financial institutions such as BlackRock, JPMorgan, and Goldman Sachs. Notably, these tokenized shares are expected to hold the same legal status as their traditional counterparts, adhering to existing securities regulations.
#What implications does this have for individual investors?
For retail investors, the immediate impact of this development may be limited. However, the long-term potential is significant, especially regarding the reduction of the current T+1 settlement cycle. With improvements in settlement processes, there is an opportunity to reduce counterparty risk and unlock capital that is typically held during the settlement period.
#What are the risks associated with this proposal?
Despite the promising outlook, investors should remain cautious. Regulatory approval is not guaranteed and public comments can extend the approval process significantly. Furthermore, the technical aspects of integrating blockchain settlement systems with existing market infrastructures have not yet been tested at a large scale, which adds an element of uncertainty to this development.