SEC Proposes Blockchain Integration for Registered Transfer Agents

The US Securities and Exchange Commission (SEC) has proposed changes to its rules governing registered transfer agents, potentially paving the way for blockchain technology to become an official record of securities ownership.

The proposal, which was published on September 1, aims to modernize oversight as tokenized securities infrastructure grows. It addresses electronic communications, digital recordkeeping, and distributed ledger technology, among other areas.

According to the proposal, transfer agents may be required to report how many tokenized securities they service and identify the blockchain platforms supporting those records.

The SEC's Jamie Selway stated that regulators must revisit legacy rules as technology changes. He emphasized that the proposal is another step in Chairman Atkins' effort to update the regulatory framework.

This move comes as several major players, including the New York Stock Exchange and Securitize, are working together on platforms for tokenized securities.