Equiniti acquisition by Bullish valued at $4.2B amid tokenization expansion
In a move reflecting Wall Street's accelerating tokenization efforts, Bullish has reached an agreement to purchase transfer agent Equiniti, enabling round-the-clock trading capabilities.
In a deal valued at $4.2 billion, Bullish has reached an agreement with Siris Capital to purchase transfer agent Equiniti, securing a significant shareholder recordkeeping operation as the crypto exchange expands its presence in the tokenized securities sector.
Under the terms of the agreement, Equiniti's $1.85 billion in existing debt will be taken on by Bullish, as disclosed in an announcement made on Tuesday. Subject to receiving regulatory clearance, the parties anticipate finalizing the transaction in January 2027.
Through this acquisition, Bullish will gain the capability to provide round-the-clock trading access for tokenized securities alongside stablecoin-powered payment and settlement infrastructure. With nearly 3,000 corporate clients under its management, including prominent names such as Berkshire Hathaway and Rolls-Royce, Equiniti ranks among the planet's largest transfer agents. These agents play an essential role in trading platforms by maintaining investor documentation, producing ownership certificates and managing dividend distribution processes.
This acquisition highlights an intensifying competition among crypto trading platforms and conventional market infrastructure providers to construct tokenized securities offerings capable of supporting continuous trading, stablecoin-facilitated settlement and corporate operational processes.
The transaction follows by more than a month the New York Stock Exchange's (NYSE) collaboration with tokenization platform Securitize aimed at creating blockchain-powered trading infrastructure for Wall Street through the capability to mint tokenized versions of stocks and exchange-traded funds (ETFs), as Cointelegraph reported on March 24.
Cointelegraph has reached out to Bullish seeking additional information regarding its tokenization strategies.
Wall Street participants accelerate tokenization initiatives
Despite facing an evolving regulatory landscape in the US, Wall Street participants are moving forward rapidly with their tokenization strategies.
The parent organization of the NYSE, the Intercontinental Exchange (ICE), announced on Jan. 19 its intentions to create a tokenized securities platform engineered for continuous trading, immediate settlement, stablecoin-powered funding and onchain settlement capabilities.
Subsequently, on March 18, two months following that announcement, the US Securities and Exchange Commission (SEC) provided regulatory approval for Nasdaq's pilot program proposal enabling the trading of tokenized representations of high-volume stocks and securities.
Representing shares of conventional company stocks created on blockchain ledger technology, tokenized stocks provide investors with stock price exposure while delivering benefits such as continuous accessibility and the ability to purchase fractional ownership.
Major crypto trading platforms have introduced tokenized stock products as well, with Coinbase, Binance and Kraken among the largest exchanges offering these services.
At the same time, investor appetite for tokenized stocks shows continued growth.
According to data from RWA.xyz, the onchain value of tokenized stocks has climbed 31.4% over the preceding 30 days, reaching $1.25 billion, while the number of holders of tokenized stocks grew by 10% throughout the identical timeframe.
Nevertheless, tokenized stocks represent merely the fifth-largest category within the $30 billion tokenized RWA marketplace. Leading the rankings is tokenized US treasury debt at $15.2 billion, with tokenized commodities placing second at $5 billion, asset-backed credit third at $2.5 billion and tokenized specialty finance products fourth at $1.6 billion.