Avalanche (CRYPTO: AVAX) rallied sharply on Monday after the New York Stock Exchange announced it would use the network to settle tokenized stocks on its upcoming trading platform.
Avalanche’s Big Wall Street Push
The NYSE shared a Wall Street Journal report which mentioned that Avalanche will “exclusively” supply the core technology on the platform, which is targeting a launch in the fourth quarter pending regulatory approval.
Kevin Tyrrell, chief product officer at the NYSE, told WSJ that the company selected Avalanche because of its speed, throughput and “ability to support a controlled network” with compliance requirements.
Avalanche’s official X handle reacted to the post, saying, “Excited to build together!”
The NYSE first teased the platform in January, aiming to enhance tokenized trading by offering 24/7 trading of U.S.-listed stocks and exchange-traded funds, instant settlement, fractional shares and stablecoin-based funding.
Tokenized shareholders will also have the opportunity to participate in traditional shareholder dividends and governance rights on the platform, NYSE said at the time.
The Tokenization Wave
Avalanche has emerged as one of the hottest blockchains for tokenized finance, with $1.36 billion in total value as of this writing, according to RWA.xyz data.
Stablecoins are the largest tokenized asset class on Avalanche, followed by U.S. treasuries.
Price Action: As of this writing, AVAX is up about 5% in the last 24 hours to $8.34, according to Benzinga Pro.
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