Ironlight Markets, a FINRA-registered broker-dealer and subsidiary of Ironlight Group Inc., has received regulatory approval to operate an alternative trading system (ATS) in the United States that supports trading of both traditional and tokenized securities — and, crucially, offers atomic on-chain settlement.

The approval makes Ironlight the first U.S. regulated venue publicly cleared to offer atomic on-chain settlement for securities, a model that removes the time lag and intermediary steps typical of conventional post-trade processes.

In atomic settlement, transfer of the security and payment occur in a single, indivisible on-chain transaction, allowing trades to clear and settle in real time.

“Our ATS clears and settles trades in a single atomic event—instantly and securely,” said Matthew Celebuski, President of Ironlight Group Inc.

“It’s the infrastructure that allows institutions to finally access the benefits of tokenization without compromising on regulatory standards.”

Ironlight’s ATS combines a centralized order book with instant, blockchain-native settlement, which it says delivers sub-20-microsecond matching speeds and removes the need for separate clearinghouses or custodial intermediaries.

The platform will initially target institutional participants in private credit, venture capital, and other alternative investments, while maintaining the compliance, custodial, and AML standards expected of a FINRA-regulated venue.

Industry observers say the approval underscores growing regulatory openness to blockchain-based market infrastructure.

Recent guidance from U.S. market regulators has clarified that registered trading venues may offer certain tokenized products under existing securities frameworks, paving the way for entities like Ironlight to enter the space.

If scaled, atomic settlement could reshape liquidity and counterparty risk in private-market trading by shortening funding cycles and reducing the capital locked in settlement buffers. Ironlight says it plans to onboard institutional clients first before expanding its offerings more broadly.

Regulator Groundwork Provide Ironlight’s Leap

FINRA is preparing to abandon the legacy $25,000 “pattern day trader” threshold in favour of a margin-based framework that reflects modern electronic trading.

At the same time, FINRA has launched a Crypto and Blockchain Education Program to increase industry firms’ understanding of tokenised assets, on-chain workflows and compliance challenges.

In parallel, tZERO Group, Inc.’s broker-dealer unit recently secured FINRA approval to add corporate debt trading to its alternative trading system (ATS), pointing to an increasing acceptance of digitised and multi-asset infrastructures.