SEC Prepares Framework for Trading Tokenized Stocks

The Securities and Exchange Commission (SEC) is reportedly planning to release a framework for trading blockchain versions of popular Wall Street-listed stocks. This move would allow tokenized equities, which are currently unavailable in the US, to be traded on exchanges.

According to Bloomberg, citing people familiar with the matter, the agency plans to release its 'innovation exemption' for trading tokenized stocks as early as Friday. The SEC will hold an open meeting on Friday to create a tailored offering regime for certain investment contracts involving crypto assets.

The total market for tokenized stocks is worth over $2.50 billion, with a monthly transfer volume of $21 billion and a total number of holders of 1.16 million. Several firms are actively experimenting with the concept, but it's still unclear what details will be included in the framework.