SEC Exemption Paves Way for Tokenized Stocks Boom

The US Securities and Exchange Commission (SEC) has introduced a five-year exemption for tokenized stocks, which could create new opportunities for Coinbase, Robinhood, and Circle.

Under the exemption, qualifying venues can trade tokenized U.S. listed stocks through permissioned automated market makers on public blockchains.

Coinbase is seen as a potential beneficiary, with analysts at Goldman Sachs and Citizens noting that it could monetize more than just transaction fees in the new market.

The company's control of Base, its Ethereum Layer 2, also gives it a possible route into on-chain securities infrastructure.