HIGHLIGHTS The New York Stock Exchange has picked Avalanche as the settlement layer for its tokenized stocks trading platform. The stock exchange is targeting a launch by year-end for the platform, pending regulatory approval. Avalanche's AVAX token is up amid this development. The New York Stock Exchange (NYSE) has picked Avalanche as the settlement network for its tokenized stocks platform. This comes as the stock exchange plans to roll out the platform by year-end, pending approval from the Securities and Exchange Commission (SEC).

NYSE Chooses Avalanche For Tokenized Stocks Platform

In an X post, Avalanche said the NYSE will build its tokenized stocks platform’s core clearing and settlement layer on its network. "Avalanche will support the platform’s clearing firm, supporting the development of infrastructure for 24/7 trading, clearing, and settlement," the post read.

The layer-1 network further described it as a "landmark step toward the next generation of global financial markets." The network will serve as the exclusive settlement layer over top layer-1 networks like Solana and Ethereum, which are known as go-to platforms for tokenization.

Meanwhile, NYSE is targeting a launch this quarter for its tokenized stocks platform, pending SEC approval. This comes despite pushback from several companies, including Amazon, Apple, Tesla, and SpaceX, over the stock exchange tokenizing their shares.

Ahead of the proposed launch of its tokenized stocks platform, the NYSE has also partnered with transfer agents. As CoinGape reported last week, the NYSE partnered with Broadridge, which will also help provide onchain governance for holders of these tokenized stocks.

AVAX Climbs Following Announcement

Avalanche's native token AVAX has climbed after the announcement that NYSE picked the network as its exclusive settlement layer. The token is trading at around $8.7, up over 7, according to TradingView data.

This comes amid the downtrend in the broader crypto market, with Bitcoin trading below $75,000. Despite its recent rally, AVAX remains down more than 15% in the last month and more than 28% year-to-date (YTD).

For more on trading tokenized assets, check out Best Platforms & Crypto Exchanges to Trade Pre-IPO Tokens