Lise Obtains DLT License for Europe’s Initial Tokenized Stock Market for Small and Medium Firms
Lise, a stock exchange based in France, is set to launch the first-ever tokenized equity exchange in Europe, designed specifically for small and medium enterprises (SMEs). The French company has received a DLT trading and settlement (TSS) license from France’s Prudential Supervision and Resolution Authority (ACPR). This license is aimed at digital asset markets and is expected to usher in a new era for financial markets.
What Does the DLT TSS License Mean for Lise?
Lise‘s exchange is now one step closer to operating under the DLT Pilot Regime of the European Union (EU) with the DLT TSS license. The DLT Pilot Regime framework, which came into force in March 2033, provides for the trading and settlement of transactions in crypto assets that qualify as financial instruments under the Markets in Financial Instruments Directive (MiFID II).
This new license enables Lise to develop pioneering market infrastructure that integrates market trading and post-trade functions on a single platform. This transformation facilitates a more efficient and secure way to handle central securities depositories (CSDs) and multilateral trading facilities (MTFs). Mark Kepeneghian, Lise’s managing director, calls it a “huge transformation” in the way financial markets operate, utilizing DLT to tokenize equities and simplify trading.
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Rethinking IPOs with Tokenization
Lise‘s vision goes beyond just creating a tokenized exchange. The company embraces asset tokenization to reduce the high costs and inefficiencies traditionally associated with IPOs. By enhancing security, simplifying public listings, and providing small companies access to public capital markets, this new model offers a wide range of benefits.
The first tokenized IPO is likely to take place by early 2026. Lise is already onboarding issuers and preparing operational readiness. The first tokenized IPO will serve as a proof of concept, with at least 10 more IPOs expected to be tokenized by 2027. This positions Lise as a leader in Europe’s tokenized securities market.
Strong Backing from Major European Banks
Lise‘s ambitious vision is supported by major French banks such as BNP Paribas and Bpifrance, and is co-funded by Caceis, which is owned by Crédit Agricole. Caceis acquired a minority stake in Kriptown, the parent company of Lise, to support the platform’s development. The investment aims to drive digital transformation in the finance industry and digital assets, in line with Caceis’ long-term strategy.
A growing number of traditional finance institutions are incorporating digital asset technology into their frameworks to future-proof their services. Lise’s tokenized IPOs will pave the way for the adoption of tokenized securities across Europe. Earlier this year, platforms like Gemini and Kraken ventured into this space, with tokenized securities and IPOs expected to emerge soon.
A Major Milestone for Tokenized Securities in Europe
Lise‘s move into tokenized equities represents a significant milestone in the development of tokenized securities in Europe. As the popularity of digital assets and blockchain technology grows in banks and finance, Lise’s platform has the potential to revolutionize the IPO process for both small and large companies, making public markets accessible to a broader range of businesses.
Tokenized IPOs and digital asset exchanges are on the rise, but this is just the beginning. With Lise at the forefront, Europe is poised to push for new market infrastructures that will allow companies to raise capital and investors to participate in global financial markets.
