Nasdaq Ventures has agreed to invest USD 100 million in Payward, as the two firms deepen their collaboration on tokenised equities infrastructure.
The investment forms part of a broader expansion of the relationship between Nasdaq and Payward, which also includes continued work on the Nasdaq Equity Token (NET) framework and a new market surveillance agreement. Nasdaq Ventures, the exchange operator's investment arm, backs technologies and market infrastructure intended to support the longer-term development of global capital markets, and the company has described the Payward investment as reflecting the strategic scope of the two organisations' joint work.
Advancing the Nasdaq Equity Token framework
Within Nasdaq, the collaboration is being led by Digital Liquidity Networks (DLN), the business unit focused on building market infrastructure designed to operate on a continuous, always-on basis. Nasdaq and Payward plan to continue developing the operational and commercial infrastructure supporting NETs, with the two companies targeting a launch in the second quarter of 2027.
Nasdaq first announced its plans to develop NETs earlier in 2026, alongside a framework intended to connect the tokens with Payward's xStocks ecosystem. That earlier announcement set out an approach for how tokenised equities could move across different market environments while preserving the rights and protections associated with traditional issuance and ownership. The next phase of the partnership is intended to build out the global distribution, trading, and post-trade capabilities required to support wider adoption of tokenised equities.
According to Tal Cohen, President, Nasdaq, the next phase of market development will depend on how efficiently capital and assets can move across the financial system while maintaining durable, high-integrity liquidity, and the expanded relationship with Payward is intended to support that evolution while preserving trust and transparency in capital formation.
Arjun Sethi, Co-CEO of Payward, noted that more than USD 2 trillion of stock trades pass through the US clearing system each day, with buy and sell positions netting down by around 98% before settlement. The clearing house holds between USD 10 billion and USD 20 billion in collateral against the remaining exposure while settlement is completed. Reducing the settlement cycle from two days to one in 2024 freed up USD 3 billion in collateral, and the next phase of the Nasdaq-Payward collaboration is intended to move NETs onto continuously operating infrastructure, without a settlement delay, while keeping shareholder rights intact.
Extending surveillance across trading venues
As part of the expanded agreement, Payward will also adopt Nasdaq's surveillance technology across its trading venues, spanning crypto, equities, tokenised equities, futures and options. The companies have said this extension is intended to support market integrity and investor confidence as tokenised infrastructure develops, combining new settlement models with the oversight mechanisms expected in regulated markets.
The agreement adds to a series of exchange-sector initiatives exploring tokenisation of traditional securities, an area regulators in several jurisdictions continue to examine as trading venues test how blockchain-based settlement can coexist with existing market-integrity requirements.
