SEC Exemption Tokenized Stock Trading: Report

The US Securities and Exchange Commission is preparing an innovation exemption that would permit the tokenization and trading of public company stocks on blockchain platforms, even without direct consent from the underlying issuers. Led by Commissioner Hester Peirce, this initiative aims to increase market efficiency, potentially offering investors 24/7 trading and greater financial inclusion.

Proposed rules suggest that these third-party tokens must provide shareholders with standard rights like dividends and voting capabilities to avoid delisting. However, the move has sparked debate; industry figures like Securitize president Brett Redfearn warn that tokenizing assets without issuer participation could cause market fragmentation and investor uncertainty regarding share value. The proposal remains subject to change pending finalization.

(Source：Cointelegraph)