Currently, tokenized settlement on major exchanges operates through permissioned blockchain infrastructure. But here's the thing—public blockchains will inevitably move into this space as regulations evolve.

Look at how Bitcoin adoption played out: first came indirect exposure via investment trusts and corporate vehicles, then spot ETFs materialized once the regulatory framework solidified. Permissioned systems serve as the bridge, not the destination.

The same trajectory applies to tokenized settlement. Private chains handle the initial heavy lifting, establishing compliance frameworks and proving operational viability. Once regulators gain comfort and standards emerge, public chains will capture meaningful market share. It's not about ideological preference—it's about regulatory maturity unlocking what was previously deemed too risky.