RYEO

🚨 THE FIRST EVER TOKENIZED STOCK TRADES HAPPENED YESTERDAY ON CANTON 🚨 Wait what? You’re thinking… “There have been tokenized equities for years now.” This is different. Not just the first on Canton. The first anywhere under the SEC’s Innovation Exemption. Thanks to @tradecraftfi the first National Market Security (NMS) stock tokenization and trade happened via @tradecraftfi. In the context of the tokenized CNTN trades and the SEC Innovation Exemption, “tokenized NMS stocks” means tokenized versions of these real, listed U.S. equities. That means stocks that actually trade on Nasdaq or the NYSE and carry the same rights…. as opposed to synthetic or offshore wrapper products that only track the price. @CantonStrategic (NASDAQ: CNTN) is the first public company to have its own shares tokenized this way. @fairmint is the first onchain SEC-registered transfer agent. @FiveNorthHQ is the first shareholder to move its shares onto the onchain register and seed the liquidity. @flowdesk_co is the first market maker. @CumberlandSays executed the first buy. Tradecraft’s TSV was the venue that made the whole stack work. Atomic settlement on Canton. Same rights as the Nasdaq shares. Verified holders only. This is the difference between wrappers and the real thing. Most of the ~$3–4.7B tokenized equity market today is offshore price-exposure products. No voting rights, no dividends flowing through the same legal structure, no transfer agent of record. Issuer-sponsored changes that. Because the issuer sponsored it, they skipped the 30-day notice-and-objection window that applies when a third party tries to tokenize someone else’s stock. The SEC’s September 17 Innovation Exemption is a five-year sandbox (until 17 September 2031). Qualifying Tokenized Securities Venues can run permissioned AMM pools without registering as exchanges. Volume and symbol caps keep it contained: → Tier 1 (S&P 500/Russell 1000 etc.) is capped at 75 symbols and 0.25% of prior-month ADV; → Tier 2 at 250 symbols and 2.5%. Public trade data is required. Access is permissioned with identity and sanctions screening. No primary issuance. What this actually means for markets: → Onshore, rights-preserving equity trading is now possible. → Atomic DvP + privacy. → Transfer agent as the compliance layer. Only an accountable, SEC-registered TA can say who legally owns the share and enforce the issuer’s rules. That is the piece that makes this usable for real public companies. → Liquidity and market structure will develop under constraints. 24/7 access is possible (subject to halt coordination with the listing exchange). Early liquidity comes from sophisticated participants (Cumberland, Flowdesk). Volume caps mean this does not replace Nasdaq or NYSE tomorrow. It is a parallel venue that can grow as the exemption is studied and, potentially, expanded or made permanent. Offshore tokenized stocks grew fast because distribution was easy and the product was simple. This is slower, narrower, and more expensive to stand up. It is also the version that can actually sit inside the regulated U.S. market structure instead of next to it. The implication is that the regulatory and technical rails for issuer-sponsored tokenized NMS stocks now exist, and the first public company, first onchain TA, first venue, and first institutional counterparties just used them. This is why the build is on Canton. Can you see the Zenith? Zth.

“I see Zenith as Canton’s first credible entry point for Solidity developers. But it is still a testnet,…” We appreciate the nod! Respectable post. But if I may… A handful of testnets have been in prod for several months already with clients. It’s only a marketing choice when to announce things 👀 “…not an active application economy.” This is the core value proposition of having a single public, permissionless EVM virtual blockchain deployed to Canton. We could have just left it at Zenith Stack deploying EVM subnets for specific businesses, but like you noted, that would not yield Robinhood-esque results. You’ll be pleasantly surprised. Your post is accurate in its scope, but still only a small fraction of what’s possible with this technology and what we impact we can actually make. Zenith Stack VBs going live will be the first time the EVM has been baked natively into a non-EVM L1, with true atomicity - not marketing jargon. Brew on the implications. And hey, we can do any VM. “Zenith could solve the developer-access problem. It does not solve distribution by itself.” Could? It does. Can’t solve distribution? Says who? Unlike the ecosystems of yesteryear: 1. I believe bringing the technology to MainNet is only the starting line of the race. 2. I believe incubator/accelerator/start-up/hackathon driven application level ecosystems are doomed from the jump. 3. I believe only mature, robust, stress-tested and trusted applications matter. 4. I believe asset issuance is nearly worthless without bringing the entire value chain… onchain. Why tokenize if you haven’t found the buyer/lender? I could care less personally who the intermediary technology provider is to connect the two as long as it’s on the Zenith Stack and both parties agree to it. 5. I believe in focusing on PMF not market meta noise. I was steering the company in this direction since mid-2024. 6. I believe RWAs will just be called digital assets. Back to the basics. 7. I believe in 10-20 years global financial markets will be entirely migrated with some, if not all, of the backend onchain. Blockchain will just be a technology, not a trend. 8. I believe we’re in an institutional hype bubble with regards to the deployment phase. It’s fine, but there’s lots of noise and shaking trees. 9. I believe CMC/CoinMarketCap top100 is unlikely to include many Web3-first companies/assets in 10 years. 10. I believe applications should pay for protocol dependencies, not the network. As such, what if it could be amortized by all applications and subnets? 11. I believe you shouldn’t overly hype your launch. 12. I believe in rising tides and finding angles to work with all parties, even “competitors.” 13. I believe there is no winner take all. 14. I believe innovative technology isn’t the core element of a successful business. Just a useful piece of the puzzle. 15. I believe in my team. Between my co-founder, our head of ecosystem, and myself we have over 35 years of Web3 experience in core architecture, ecosystem growth, governance, advisory, investment, leadership/board seats. We’re not in Kansas anymore Dorothy. Zth.

Aging. Hair thinning. Dad bodding. Still grinding. Zth.