NYSE parent ICE partners with tZERO on infrastructure for tokenized securities

tZERO and Intercontinental Exchange have agreed to collaborate on infrastructure for tokenized securities markets, with tZERO serving as a design partner for ICE’s upcoming NYSE-affiliated tokenized securities platform.

NYSE-traded ICE will also invest in tZERO's latest financing round and license its blockchain patent portfolio, which includes 103 patents covering areas such as compliant transfers, smart contracts and corporate actions.

The two firms will also explore the use of tZERO's tokenized assets for collateral management at ICE clearing houses and other affiliates.

"We are thrilled to be partnering with ICE for the NYSE-affiliated digital transfer agent program," tZERO CEO Alan Konevsky said in a release. "We have spent years building an end-to-end regulated platform for tokenized securities and related IP. Partnering with ICE to expand our breadth and reach to public equities is a natural step forward for our infrastructure-as-a-service offering and more broadly for tokenized markets."

In September 2024, tZERO secured approval to custody digital assets, becoming just the second firm at the time to get U.S. regulators' sign-off. The firm now competes with Securitize and Superstate in the tokenization realm.

Earlier this summer, tZERO filed a cease-and-desist letter demanding that Securitize halt two products. Securitize said its registry and vault systems lack key features covered by the disputed patents.

For its part, ICE has made several onchain-related investments over the past year. The firm announced a $600 million direct cash investment in Polymarket in March, adding to the $1 billion already provided last October. ICE, the parent company of the New York Stock Exchange, also invested in the crypto exchange OKX at a $25 billion valuation.

"tZERO's experience in regulated on-chain infrastructure makes them a valuable partner as we expand our upcoming digital transfer agent program in support of tokenized securities trading and settlement," Michael Blaugrund, VP, Strategic Initiatives, ICE, said in a statement.

In May, ICE and OKX announced a 50-50 joint venture to develop "next-generation infrastructure" for tokenized and digitally native financial products. Those two firms later partnered on oil perps.