24X National Exchange has filed a rule change with the Securities and Exchange Commission that would allow tokenized versions of Russell 1000 stocks and major index-tracking ETFs to trade on its regulated market.
The filing, listed as SR-24X-2026-20, would amend 24X rules to support securities in tokenized form during a Depository Trust Company pilot program. The structure is designed to keep tokenized shares within the existing U.S. equity market framework rather than creating a separate crypto-style venue for stock tokens.
Under the proposal, eligible exchange members would be able to mark orders with a tokenization preference at entry. Those instructions would then be communicated to DTC after execution, while the shares continue to trade on the same 24X order book as their traditional counterparts.
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The proposal keeps the tokenized shares tied to the same market structure as the underlying stock. To trade alongside the traditional version, a tokenized security would need to be fungible with the original share, carry the same CUSIP and ticker, and preserve the same shareholder rights, including dividends, voting rights and residual claims. Anything outside those conditions would be treated as a separate product.
At launch, the eligible list would focus on Russell 1000 constituents, future additions to the index and ETFs tied to major benchmarks. 24X would also be required to give members at least 30 calendar days' notice before tokenized trading begins, giving firms time to prepare for the new order instructions and post-trade process.
The filing follows a similar Nasdaq (NASDAQ: $NDAQ) rule change approved earlier this year, giving the broader tokenized equity push a more defined U.S. market-structure path. The SEC notice says the 24X rule change has become effective under exchange rule procedures, but the actual trading framework depends on DTC completing the infrastructure and post-trade services needed for the pilot.
For crypto markets, the filing adds another example of tokenization being regulated, moving beyond private funds and Treasury products. The larger test is whether public equities can move onto blockchain-linked settlement rails without breaking the liquidity, surveillance and investor-protection systems that define U.S. stock trading.