BitGo, OTC Markets plan tokenized securities access for broker-dealers
The proposed alliance would enable more than 150 broker-dealers to trade and settle digital asset securities through OTC Link ATS using BitGo’s custody infrastructure.
Digital asset infrastructure provider BitGo and OTC Markets Group, the operator of regulated over-the-counter securities markets, plan to partner on digital asset trading and custody infrastructure for broker-dealers, a move that could expand institutional access to tokenized securities through existing market infrastructure.
The companies said Wednesday that the proposed alliance will serve more than 150 broker-dealers using OTC Link ATS, an alternative trading system regulated by the US Securities and Exchange Commission. If implemented, participating broker-dealers would be able to quote, trade and settle digital asset securities using the same electronic trading infrastructure they currently use for over-the-counter and US equity markets.
Under the proposal, BitGo Bank & Trust would act as the qualified custodian, while settlement would be facilitated through BitGo’s Go Network. The proposed framework is initially intended to support digital asset securities, with the potential to expand to tokenized assets and commodities as regulatory frameworks evolve.