Nasdaq on Tokenized Collateral: P&L impact is BIGGER than most realize

Nasdaq Tokenized Collateral report key takeaways

1️⃣ The problem: collateral inefficiency is massive

The average firm manages $74B across ~65 custody locations → fragmented, complex

To manage settlement uncertainty:

- Firms overpost collateral (~7%)

- 35% pre-position 50%+ overnight just to meet morning margin calls

Result: balance sheet drag

- 25% of collateral earns zero return

- 70% of firms face daily settlement issues

- 50% of transaction cost are spent on operations

2️⃣ The Solution: tokenization = “certainty of delivery”

Firms expect tokenization to help them avoid approximately 1 in 8 failed trades today (a 13.4% reduction)

Eliminating settlement uncertainty unlocks:

-13% failed trades

-12% operating costs

-12% excess collateral buffers

-8% RWA costs (shift toward DvP)

-8% funding costs

Small improvements at the trade level → compounding P&L impact

3️⃣ What this means in dollars

Just mobilizing the 25% idle collateral translates into:

- Tier 1 (> $100B AUM): +$346M annual income

- Tier 2 ($20–99B): +$190M

- Tier 3 (<$20B): +$7.7M

Deeper dive on Nasdaq Tokenized Collateral report coming up soon.

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