tZERO Seeks FINRA Approval for Non-Security Crypto Trading Platform

tZERO Group, Inc. and its broker-dealer subsidiaries are advancing their objective of creating a unified, multi-asset global platform by working with FINRA on a request to support end-to-end issuance and secondary trading services for non-security crypto assets. The application represents an important step in tZERO's broader plan to build a unified, interoperable digital asset ecosystem that connects regulated market infrastructure across global markets with blockchain-native execution, settlement, and custody.

The company's years of experience in the tokenized securities market, and its experience as a provider of on-chain custody services, position it to deliver on this next evolution of its product offering. tZERO is one of only two broker-dealers permitted to custody digital asset securities directly on chains in wallets operated by tZERO, leveraging its existing regulated footprint to maximum extent. Key components of the proposed service include integrated issuance support for primary issuance of crypto assets with smooth transition to secondary trading and liquidity, dual custody options through self-hosted wallets or custodial wallets under tZERO Digital, multi-venue routing and execution to tZERO's ATS, third-party centralized exchanges, liquidity providers, or decentralized protocols (DeFi), and on-chain settlement including atomic locking and smart-contract driven transfers.

"This step is another milestone in our long-term convergence strategy and our leadership with on-chain operations as a broker-dealer," said Alan Konevsky, CEO of tZERO. "We envision a future where all asset types – crypto, RWAs, equities, stablecoins, predictive markets, derivatives and other asset types – leave their silos and converge and interact on unified blockchain/smart contract rails." Konevsky emphasized that expanding the ability to facilitate non-security digital assets within a regulated framework moves the company closer to a global, 24/7 market structure built on interoperability and automation.

The infrastructure being built to support the vision for non-security crypto services will also bolster and support digital asset securities offerings, including plans to support public tokenized stock, with end-to-end on-chain infrastructure supporting these services. "This initiative supports the infrastructure we ultimately want to deliver, ideally under one regulated roof: user-choice in custody, open connectivity across market venues, and on-chain settlement that reduces friction while maintaining regulatory integrity," added Vanessa Savino, Chief Legal Officer at tZERO. The company's legal and regulatory initiatives continue to focus on driving this vision forward.

tZERO Digital Asset Securities, LLC is a broker-dealer registered with the SEC and a member of FINRA and SIPC, operating in accordance with the SEC's statement regarding the Custody of Digital Asset Securities by Special Purpose Broker-Dealers. More information about tZERO Digital Asset Securities may be found on FINRA's BrokerCheck. tZERO Securities, LLC, also registered with the SEC and a member of FINRA and SIPC, operates the tZERO Securities ATS, with more information available through the same BrokerCheck platform.