SEC Overhauls Transfer Agent Rules for Digital Securities

The US Securities and Exchange Commission (SEC) is updating transfer agent rules to reflect the changing landscape of digital securities. The proposal, set to be published on September 1, aims to modernize the framework which has remained largely unchanged since the late 1970s.

The SEC's Division of Trading and Markets director, Jamie Selway, emphasized the need for revisiting legacy rules as technology and markets evolve.

The proposed updates would bring transfer agent regulations in line with electronic records, blockchain technology, and faster-moving securities markets. This includes amending existing rules and forms, rescinding one rule, and introducing new requirements for registered transfer agents.