BlackRock and JPMorgan Test Tokenized Securities in DTCC Pilot

The pilot involves nearly 40 financial institutions, including Goldman Sachs, Vanguard, and the New York Stock Exchange. Participants are currently using assets such as Microsoft shares, Circle tokens, and BlackRock’s iShares 0–3 Month Treasury Bond ETF to execute collateral transfers and repo agreements. JPMorgan has already marked a milestone by successfully converting Invesco QQQ Trust ETF shares into a tokenized format. Rather than relying on public networks, the project utilizes private environments like Hyperledger Besu and the Canton Network to ensure that regulated market standards—such as liquidity and investor protections—remain intact. This transition to a permissioned blockchain framework allows firms to experiment with digital ledger technology while maintaining the security of the clearinghouse’s existing custody model. Following the current testing phase, the program is slated for a formal operational launch in October. Looking further ahead, the initiative intends to expand its reach by incorporating public blockchains; specifically, a partnership with the Stellar Development Foundation is scheduled to introduce custody asset tokenization by the first half of 2027.