SEC Innovation Exemption Delayed Again, Tokenization Stocks Plummet

Shares of tokenization-focused companies plummeted on Friday after the Securities and Exchange Commission (SEC) postponed its highly anticipated 'innovation exemption' for blockchain-based securities.

The move triggered a selloff in decentralized finance tokens, with Bullish leading the decline at an 11.2% drop to $24.36 before settling around $24.41.

Other affected companies included Figure Technology Solutions (FIGR), which fell 9% from Thursday's session high, and Coinbase (COIN), down 3% to $149.30.

The delay reflects deeper concerns within the SEC about whether the agency has sufficient legal authority to grant such sweeping relief through an exemption rather than formal rulemaking.