Morgan Stanley now expects to support tokenized equities on its alternative trading system in Q1 2027, later than the second half of 2026 it indicated earlier. Amy Oldenburg, the firm's head of digital asset strategy, says client demand is missing because the product does not yet exist.
Morgan Stanley now views the first quarter of 2027 as a more realistic timeline for supporting tokenized equities on its alternative trading system (ATS). Amy Oldenburg, the firm's head of digital asset strategy, told The Block at Token2049 that the bank's team is building the necessary infrastructure.
Timeline slips from the second half of 2026
Oldenburg described the new window as more realistic than the second half of 2026 she indicated in March. The delay, she said, comes down to product. Oldenburg said the firm needs product to support within the ATS, and demand is not there because the product does not exist.
She pointed to DTCC's tokenization service launch at the end of this month as a milestone that could encourage more activity. Another development the firm is watching is the GENIUS Act, which takes effect in January.
A hybrid model for clients
Oldenburg said the ATS, which matches orders outside public exchanges such as the Nasdaq, fits the firm's strategy of raising, allocating, and managing capital onchain. Morgan Stanley already offers clients direct equities, derivatives, and swaps through the same model, and she views tokenization as an extension of it.
Separately, the bank established a Digital Asset Lab to test the blockchain and crypto-native technologies that new products would require. It also received conditional approval from the OCC earlier this year to set up a digital trust to custody or stake digital assets for clients.
Oldenburg sees tokenized assets at $3 trillion to $10 trillion
Asked about predictions that the tokenized real-world asset market will reach $3 trillion to $10 trillion, Oldenburg said in the interview, according to The Block: "We'll definitely be within that range without question." The Block's summary places that range by 2030.
She named private shares, structured notes, custom products, and private fund access as near-term opportunities, where blockchain could reduce paperwork and administrative burdens.
Source: The Block
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