Formation Securities plans Solana stock trading venue for early 2027
Formation Securities plans a new Solana stock trading venue.
The short version
- It would offer 24 7 trading of tokenized shares.
- Galaxy Digital and Exodus Movement shares are expected at launch.
- The venue operates under a temporary US Securities and Exchange Commission exemption.
Formation Securities, a newly established company licensing technology from decentralized exchange Orca, has notified the US Securities and Exchange Commission of plans to launch a tokenized stock trading venue on Solana in early 2027. The proposed venue would offer 24 7 trading of tokenized shares from Galaxy Digital, Exodus Movement, and Forward Industries, according to Cointelegraph.
The marketplace would operate under the US Securities and Exchange Commission's temporary Innovation Exemption announced in September, which allows verified investors to trade certain US listed shares around the clock while retaining voting, dividend, and other shareholder rights. Superstate, a digital asset firm, and Securitize, a digital asset issuance platform, are also expected to make tokenized shares available on the marketplace, which Formation says it intends to develop in cooperation with public companies.
The venue would use automated market maker technology, allowing investors to hold Securities in their own wallets and settle trades onchain against stablecoins and other eligible assets. Traditional transfer agents would continue to maintain official shareholder records, preserving companies' direct relationships with shareholders.
Solana is already among the largest blockchains for tokenized equities, with approximately $575,000,000 in tokenized stock value as of Monday. Formation's issuer focused approach comes amid growing debate over how publicly traded shares should be brought onchain. More than 50 companies have objected to having their shares tokenized on a rival proposed venue backed by crypto exchange OKX and New York Stock Exchange parent Intercontinental Exchange.
Under the US Securities and Exchange Commission rules, trading venues must notify issuers in writing and wait at least 30 calendar days before trading shares tokenized by unaffiliated third parties, giving companies an opportunity to object.
Figures as reported by Cointelegraph.
