Securitize Obtains EU Approval for Tokenized Trading System on Avalanche

Securitize has obtained full regulatory approval from the Spanish CNMV to operate the European Union’s first blockchain-based trading and settlement system, with Avalanche selected as the underlying infrastructure for the initial deployment.

The approval positions Securitize as the only company in the world authorized to manage a globally regulated digital securities infrastructure. UNITED STATES and the European Unioncreating a direct bridge between the world’s two largest capital markets.

This important milestone comes after four years of regulatory work involving the CNMV, ESMA, the Bank of Spain and the European Central Bank.

Securitize’s first issuance under the EU TSS on Avalanche is expected in early 2026.

Landmark authorization opens pan-European digital markets

The Spanish securities regulator has approved SECURITIZE as a trading and settlement system under the EU DLT pilot regime, a regulatory sandbox to test distributed ledger technology in financial markets infrastructure.

The framework combines the functions of a multilateral trading mechanism and a central securities depository into a single digital platform, allowing tokenized stocks and bonds to trade and settle transparently across the 27 EU member states.

Securitize Europe Brokerage and Markets, SV SA, previously obtained its investment firm license in December 2024, covering order execution, custody, transfer agent services and operation of market infrastructure.

This license has been issued in major EU jurisdictions including Germany, France, Italy, Luxembourg and the Netherlands.

The authorization grants Securitize ERIR status in Spain, the role of digital transfer agent that enables end-to-end management and maintenance of tokenized assets throughout their lifecycle.

“Tokenizing the world means removing the borders that have historically fragmented global capital markets,said Carlos Domingo, CEO of Securitize.

“Becoming the only company authorized to operate regulated digital security infrastructure in the US and EU puts us in a unique position to connect issuers and investors in the world’s two largest financial markets.“

Avalanche chosen for its institutional level performance

Securitization selected Avalanche’s blockchain infrastructure for its sub-second finality and its ability to deploy purpose-built blockchains tailored to regulatory requirements.

The architecture provides institutions with predictable settlement times and essential compliance frameworks for regulated trading platforms, addressing long-standing concerns about blockchain performance in traditional finance.

Global asset managers including KKR, Apollo and JP Morgan have already deployed custom blockchains on Avalanche for launching tokenized funds.

“Avalanche was designed to deliver the performance and predictability required to tokenize global assets,” said Ava Labs President John Wu.

“We are proud to support Securitize in launching the first pan-European TSS powered by Avalanche.“

AVAX rose 6.74% to $14.95 following the announcement, driven by renewed institutional confidence in blockchain’s position as infrastructure for regulated markets.

Tom Murphy, head of communications at Securitize, highlighted the importance of the four-year licensing process, saying the European team had been “literally redefining the way global financial markets work.“

Growing institutional momentum behind Avalanche

Securitize’s approval follows a wave of institutional capital commitments to the Avalanche ecosystem throughout 2024 and 2025.

In September 2024, AgriFORCE Growing Systems announced plans to rebrand as AVAX One and raise $550 million to accumulate over $700 million in AVAX tokens.

At that time, the company aimed to position itself as the first Nasdaq-listed company dedicated to maximizing ownership of the native blockchain asset.

Avalanche Treasury Co. then revealed plans to buy AVAX for $1 billion, backed by a $675 million SPAC merger, with former Susquehanna Crypto executive Bart Smith as CEO.

Both treasury vehicles have secured participation from major crypto investors including Pantera Capital, Galaxy Digital, Dragonfly Capital, FalconX and Kraken, demonstrating institutional conviction in Avalanche’s long-term positioning in the market.

Anthony Scaramucci, founder of SkyBridge Capital and advisor to AVAX One, called asset tokenization “the major theme of the next decade in terms of finance,“noting that”Avalanche has clearly become the institutional-level platform for this change.“

Blockchain currently secures over $6.2 billion in staked assets. It has attracted ETF deposits from VanEck, Grayscale and Bitwise Asset Management, validating its institutional credentials ahead of Securitize’s European market launch in 2026.

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