Nasdaq CEO Adena Friedman is doubling down on blockchain. Speaking to CNBC's Joanna Ossinger at the TOKEN2049 conference in Singapore on October 8, she said tokenization could free up tens of billions of dollars in capital currently tied up as collateral across the global financial system.
Her argument: tokenize assets such as Treasurys, equities, and money market funds — along with the flow of money itself — and collateral becomes "very fluid," letting banks and financial institutions move it far more efficiently and unlocking the trapped capital.
Tokenization represents financial assets, such as stocks and bonds, as digital tokens that can be transferred using blockchain technology. The asset stays the same; settlement and transfer go from days to seconds, and moving collateral across platforms and borders is no longer hostage to legacy settlement plumbing.
Friedman said institutional interest in tokenization has grown over the past year, pointing in part to the US passage of the Genius Act, which established a regulatory framework for stablecoins. "If we can tokenize money, then we can tokenize the flow of capital," she said.
Kraken co-CEO Arjun Sethi, speaking at the same event, added that companies outside the US are exploring tokenization and seeking greater access to American capital markets.
Friedman also addressed the push toward round-the-clock trading: retail investors' demand for it is "about 10 years ahead," with institutions now catching up. But true 24/7 trading would require major changes to financial infrastructure — and she expects AI to play a growing role in real-time risk management.
This isn't idle talk. Nasdaq is positioning its institutional credibility and existing blockchain infrastructure to be a bridge-builder in the tokenization wave — provided regulation keeps pace. The legal frameworks for digital-asset ownership and trading, particularly under the US SEC, are still being worked out, and the conversation between institutions and regulators continues.
Next: after the Genius Act takes effect, which assets get tokenized at scale first — Treasurys or money market funds — and which exchange actually gets 24-hour trading running. The answers will show whether tokenization stays a conference talking point or becomes market plumbing.