Chainlink may benefit from DTCC obtaining SEC approval to carry out asset tokenization services, a major positive development for LINK

The Depository Trust & Clearing Corporation (DTCC) recently received a No-Action Letter from the U.S. Securities and Exchange Commission (SEC), allowing it to carry out traditional asset tokenization services over the next three years. This development not only marks a significant step toward blockchain adoption in the U.S. financial markets but also brings major benefits to Chainlink, as the two have maintained close cooperation since 2024.

According to the announcement, DTC, a subsidiary of DTCC, will initiate a controlled production environment in the second half of 2026, officially issuing tokenized securities on approved Layer 1 and Layer 2 blockchain networks. The initial batch of tokenized assets will include highly liquid targets such as the Russell 1000 Index components, major ETFs, and U.S. Treasury securities like treasury bills and long-term bonds. In the early stage, this service will be limited to DTC participants and their clients for strict monitoring.

Frank La Salla, President of DTCC, stated that tokenization will bring higher liquidity, more flexible trading methods, 24/7 market access, and programmable assets to the U.S. securities market. Notably, SEC’s No-Action Letter is extremely rare, and this approval is seen as a positive signal indicating a shift in regulatory attitude toward blockchain financial infrastructure.

Chainlink is viewed as the potential biggest beneficiary of this progress. In 2024, Chainlink collaborated with DTCC and several U.S. banks to complete a cross-chain interoperability protocol (CCIP) pilot for smart net asset values, demonstrating the ability to share post-trade data across multiple blockchains. This pilot served as a preliminary test for DTCC’s formal tokenization plan and highlights Chainlink’s vital role in upgrading traditional financial infrastructure.

Dan Doney, CTO of DTCC, also emphasized that Chainlink’s involvement has accelerated the modernization of settlement systems. With market interest in tokenized financial products continuing to rise, related monthly trading volume has already surpassed $1.4 billion. This SEC approval will further promote the expansion of the tokenized asset market and provide long-term growth momentum for Chainlink. (CoinGape)