Bitcoin's Next $4 Trillion Catalyst - Securitize CEO Carlos Domingo

**Scott Melker** (0:00)
When BlackRock needed someone to tokenize their first fund, they called him. When the New York Stock Exchange decided to trade stocks 24-7 on chain, they called him.
When Jump Trading, the largest crypto market maker on Wall Street, needed a partner the morning of this interview, they called him. Carlos Domingo built Securitize from nothing into the company that every giant in finance now depends on to move real world assets on chain. Today, Carlos reveals why the DTCC is repeating the same fatal mistake the telecom companies made when WhatsApp showed up.

**Carlos Domingo** (0:32)
The DTCC model is just about preserving the existing market structure. Same market structure, same market participants, same T plus one settlement, feels that they're not going to take advantage of the power of public web chains.

**Scott Melker** (0:46)
Why the banks need the Clarity Act far more than crypto does.

**Carlos Domingo** (0:49)
Crypto people have been doing whatever they want, no matter how much they be complaining, maybe they have to fight one or two lawsuits here and there, but institutions are very conservative. Without 100% regulatory clarity and making sure that they're not taking any risks, they're not going to do it.

**Scott Melker** (1:02)
What happens when AI agents start trading tokenized assets?

**Carlos Domingo** (1:05)
You have the agents that can actually trade in real time, but you also have assets that are on chain that move in real time. How that could transform capital markets is very interesting.

**Scott Melker** (1:14)
And much more. Let's go.
I decided to do three minutes of prep. I do a quick Google search and see what Securitize ties up to today. And in the last four or five hours, I think I had to scroll three pages just to see the news. Tokenization is absolutely exploding.

**Carlos Domingo** (1:48)
It is finally happening, yes.

**Scott Melker** (1:50)
Finally happening, but you were far ahead of the curve. Does it surprise you even how fast it's happening?

**Carlos Domingo** (1:56)
It surprised me it didn't happen before, because this is kind of like the most obvious use case for crypto and for blockchain, right?
But it also surprised me how it didn't happen for a long time, and now it's really exploding. There's literally every single company, even companies that were not doing tokenization, like this morning, we announced that they are pouring equity that they're getting into the space.

**Scott Melker** (2:16)
The announcement I saw this morning was with Jump.

**Carlos Domingo** (2:19)
That's the announcement we did, yes, with Jump Trading.

**Scott Melker** (2:21)
Okay.
These days, it seems like you have a new partnership every day. What is that announcement specifically?

**Carlos Domingo** (2:27)
One of the things that we are pushing towards is what we refer to as native tokenization of stocks. There's some tokenized stocks out there that are like derivatives or price swaps. And there's like five different versions of the same tokenized Tesla, none of them representing actual equity in Tesla. So we've been pushing for the model where the token does represent the same instrument, the same security, the same QC, the same rights, the same dividend, the voting rights, whatever. And then when you tokenize things, the number one question is, what are you going to do with the tokenized stocks? You put them on the blockchain for what?
Obviously, one of the things that people want to do is to make them liquid on the blockchain, make instant settlement, trading 24-7, et cetera. And that involves two different things, or three different things. It involves, one is the trading infrastructure on chain that uses permission as infrastructure for trading permission assets, because securities are permission. It requires market makers, and it also requires a flow of crypto people that can actually access that.
So today we announced a partnership between us, which are the main tokenization platform, but we're also our regular broker dealers. We can actually trade stocks. Jump Trading, who is the largest crypto market maker by a mile, and is probably one of the most influential social prof trading firms in Wall Street. And they've developed something called Prop AMM, which is like an on-chain proprietary AMM for trading any sort of crypto, but they can also extend to stocks. And the third leg of the partnership is Jupiter, who is the largest, if you want, DeFi app and non-Solana, that is going to bring the audience. Recently, the SEC issued an objection letter saying that front-ends, like they say Jupiter or Metamask or Phantom, they can actually send trades to a brokerage dealer as far as the brokerage dealer is the one doing the trades for tokenized securities. So we're taking advantage of that no action letter, the partnership we jammed as a largest market maker, and Jupiter creating the audience and us dealing with the rest.