tZERO Expands Digital Broker-Dealer Platform to Include Cryptocurrency Assets

tZERO Group, Inc., a blockchain-powered multi-asset infrastructure company, announced it can now support cryptocurrencies using its digital assets securities brokerage platform. This development follows the lifting of artificial restrictions that previously prevented the firm from operating a non-security crypto asset business. As one of only two original special purpose broker-dealers, tZERO possesses leading experience in custodying tokenized assets directly on-chain in wallets it operates and managing the tokenization lifecycle.

The company's operations were designed to meet rigorous standards for broker-dealer possession of digital asset securities set forth in the SEC's updated guidance. tZERO has spent years building institutional-grade infrastructure, processes, and expertise required for secure, on-chain digital asset custody services. This announcement follows tZERO's recent news that its regulated tokenized asset trading platform can now support user self-custody and on-chain settlement via self-hosted wallets.

By combining self-custody capabilities with this new potential to handle non-security crypto assets, tZERO is positioned to bridge regulated markets with the decentralized finance ecosystem. Alan Konevsky, Chief Executive Officer of tZERO, stated that tokenization has the potential to unite all financial experiences under one rubric, where all asset types converge on unified blockchain rails. Operating this infrastructure under one regulated roof represents a significant efficiency advantage that's difficult for other market participants to replicate.

tZERO Digital plans to launch non-security crypto asset deposits early in Q2 2026, which can be used to fund securities transactions on the platform, with additional non-security crypto asset services to follow. The company's broker-dealer subsidiaries have operated at the intersection of traditional finance and blockchain-based assets for years, providing them with experience advantages as they expand into crypto issuance, trading, and custody. More information about tZERO Digital Asset Securities may be found on FINRA's BrokerCheck.

Digital asset securities may not be securities as defined under the Securities Investor Protection Act, particularly those that are investment contracts under the Howey test but are not registered with the Securities and Exchange Commission. These are excluded from SIPA's definition of securities, meaning protections afforded to securities customers under SIPA may not apply. Investors should note that investing or trading in securities involves substantial risks, including no guarantee of returns and possible loss of principal. There are also unique risks specific to digital asset securities, including fraud, manipulation, theft, and loss.