Nasdaq Ventures has agreed to invest $100m in Payward, the parent company of Kraken, as the two firms expand plans to put traditional shares on public blockchain networks and create markets that can operate beyond normal trading hours.
The investment was announced on 10 September and builds on a partnership established by Nasdaq and Payward in March. Bloomberg, citing people familiar with the matter, reported that the deal values Payward at $21bn. Nasdaq did not disclose a valuation.
The companies are developing Nasdaq Equity Tokens (NETs), digital representations of shares in publicly traded companies. Nasdaq says the tokens will differ from cryptocurrencies that simply mirror stock prices because they are intended to retain shareholder rights, regulatory protections and corporate actions linked to the underlying securities.
Nasdaq will use Payward’s xStocks infrastructure to connect regulated securities markets with public blockchains in jurisdictions where the products are permitted. Payward will also deploy Nasdaq’s market-surveillance technology across cryptocurrency, equities, tokenised equities, futures and options.
The planned launch of NETs is targeted for the second quarter of 2027.
“The next era of market evolution will be defined by how efficiently and seamlessly capital and assets move across the financial system with durable liquidity,” Nasdaq President Tal Cohen said on Thursday.
He added that the partnership would support a more connected financial system while preserving “trust, transparency, and integrity”.
The technical plans were first announced on 9 March, when the companies outlined an Equities Transformation Gateway powered by xStocks. The system is designed to allow eligible investors to transfer tokenised equities between regulated markets and open blockchain networks while retaining the rights and pricing associated with the underlying shares.
Payward said xStocks had processed more than $25bn in total transaction volume when the partnership was announced. More than $4bn had been settled onchain and the platform had more than 85,000 unique holders.
Payward Services is expected to carry out know-your-customer (KYC) and anti-money laundering (AML) checks for customers accessing Nasdaq Equity Tokens through its platform.
Payward and Kraken Co-CEO Arjun Sethi said blockchain settlement could reduce some of the delays and collateral requirements associated with conventional stock clearing.
“Onchain settlement removes the wait,” Sethi said, adding that the firms intended to put Nasdaq Equity Tokens on “rails that do not close, with shareholder rights intact.”
The investment comes as Payward develops relationships with established financial institutions. Citadel Securities invested $200m at a $20bn valuation in November 2025, while Deutsche Borse invested $200m in April 2026 for an approximately 1.5% fully diluted stake. Payward also confidentially filed for a US initial public offering in November 2025.
Payward reported adjusted revenue of $508m for the second quarter of 2026, up 17% year on year. Its platform recorded $310bn in volume and held $40bn in assets. The company has also acquired businesses involved in tokenised equities, derivatives, stablecoin payments and token infrastructure.
Deutsche Borse already owns a stake in Payward, while the London Stock Exchange has worked with xStocks. Other major exchange operators are also pursuing blockchain-based market strategies.
Regulatory and practical questions remain over how token transfers will be treated under securities rules, how voting and corporate actions will work onchain, and where investors will be allowed to move tokenised stocks.
Coinbase has also launched tokenised US stocks on Base for eligible users outside the United States, with the 1:1-backed securities supporting continuous trading.
