Nasdaq tokenized securities will still maintain the existing settlement cycle in the initial stage.

[Nasdaq Tokenized Securities Initially Maintain Existing Settlement Cycle] Nasdaq CEO Adena Friedman stated that the upcoming tokenized securities trading, despite having the potential to accelerate settlement, will initially follow traditional settlement times. Traders can choose to settle in the traditional way or through digital wallet infrastructure. Nasdaq is working with DTC and plans to offer digital securities trading on only a few blockchains initially. Friedman noted that in the long run, tokenization can enhance collateral liquidity and reduce systemic risk by compressing settlement cycles.

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