Dinari, a pioneer in regulated custody for tokenized U.S. equities, has joined the Blockchain Association to help shape federal policy on blockchain-based capital markets. The move signals a shift in how policymakers and industry leaders are approaching digital asset custody, moving away from decentralized self-custody models toward regulated institutional frameworks that preserve traditional investor protections while unlocking blockchain benefits.

Why Does Regulated Custody Matter for Tokenized Securities?

The distinction between self-custody and regulated custody has become central to how the U.S. Securities and Exchange Commission (SEC) views tokenized securities. In January 2026, the SEC outlined a custodial model in which a third party holds an issuer's securities and issues crypto assets representing a holder's entitlement to the underlying security. This approach differs fundamentally from decentralized self-custody, where individuals hold their own private keys and manage assets directly. Dinari pioneered this regulated custodial approach and has been working with regulators to develop infrastructure that aligns blockchain innovation with existing market protections.

As an SEC-registered transfer agent and parent company of Dinari Securities, a Financial Industry Regulatory Authority (FINRA) member broker-dealer, Dinari operates within the traditional financial system while leveraging blockchain technology. This hybrid model appeals to institutional investors and financial institutions that require regulatory certainty and investor safeguards.

What Infrastructure Does Dinari Bring to the Policy Conversation?

Dinari's dShares platform enables financial institutions to offer tokenized U.S. stocks and exchange-traded funds (ETFs) while preserving the rights and protections associated with traditional securities. The platform delivers several practical benefits that distinguish it from purely decentralized alternatives:

• Guaranteed Redemption: Tokens can be redeemed at the National Best Bid and Offer (NBBO), ensuring fair market pricing for investors.
• Dividend and Corporate Action Automation: Cash dividends and corporate actions are processed automatically on the blockchain, reducing settlement delays and manual processing errors.
• Streamlined Tax Processing: Blockchain-based record-keeping simplifies tax reporting for both institutions and individual investors.

Beyond the dShares platform, Dinari is building the Dinari Financial Network, an institutional framework connecting broker-dealers, exchanges, custodians, transfer agents, issuers, and other regulated market participants. This network is designed to support the issuance, trading, settlement, and servicing of tokenized securities within existing regulatory boundaries.

How Does This Shift Regulatory Strategy?

Dinari's membership in the Blockchain Association positions the company to influence how Washington develops frameworks for tokenized securities. The timing is significant; policymakers are actively establishing rules for onchain capital markets at a moment when institutional interest in tokenization is growing but regulatory clarity remains incomplete.

"We're thrilled to welcome Dinari to Blockchain Association and look forward to bringing their expertise on tokenized securities and blockchain-based capital markets into the policy conversations taking place in Washington. Together, we can help shape thoughtful regulatory frameworks that support the future of tokenized securities in the United States," said Summer Mersinger, CEO of the Blockchain Association.

Summer Mersinger, CEO, Blockchain Association

Gabriel Otte, co-founder and chief executive officer of Dinari, emphasized the company's philosophy on tokenization. He stated that the company believes tokenization represents one of the greatest opportunities to modernize capital markets in decades, but long-term adoption depends on preserving the trust, transparency, and investor protections that have made U.S. securities markets the global standard.

"Since our founding, we've believed tokenization should enhance the existing financial system, not replace it. We're excited to join Blockchain Association and contribute our firsthand experience building regulated tokenized securities as policymakers develop the framework that will define the future of capital markets," Otte explained.

Gabriel Otte, Co-Founder and Chief Executive Officer, Dinari

What Does This Mean for Institutional Adoption?

The regulatory approach championed by Dinari differs sharply from the self-custody and decentralized finance (DeFi) models that dominated earlier crypto discourse. Rather than removing intermediaries, Dinari's model integrates blockchain technology into the existing institutional custody infrastructure. This appeals to traditional financial institutions, broker-dealers, and exchanges that require regulatory compliance and investor protections as preconditions for offering tokenized assets to their clients.

Founded in 2021, Dinari has spent five years building this regulated infrastructure. The company's SEC registration and FINRA membership demonstrate that tokenized securities can operate within existing regulatory frameworks rather than requiring entirely new rules. As policymakers establish guidelines for onchain capital markets, Dinari's experience will likely inform how regulators balance innovation with investor protection, potentially accelerating institutional adoption of tokenized equities and ETFs across the financial industry.