Frontier Tech Becomes Mainstream as SEC Exempts Tokenized Equities

Financial services is no longer flirting with frontier tech; it's operating it. The U.S. Securities and Exchange Commission has introduced an innovation exemption allowing for the trading of tokenized equities on-chain, with settlement measured in seconds rather than one business day. This move follows IBM's commitment to quantum computing, targeting delivery of a large-scale, fault-tolerant quantum computer by 2029.

Meanwhile, the New York Stock Exchange has partnered with Blockchain.com to offer tokenized U.S. exchange-listed stocks and ETFs to users, subject to regulatory approvals. This comes as Bank of America has over 100 generative AI use cases in production, with more than 200,000 employees using AI-enabled capabilities.

The SEC's five-year experiment will create a pathway for qualifying Tokenized Securities Venues (TSVs) to facilitate on-chain trading of tokenized National Market System stocks. The New York Stock Exchange has signed an agreement with Blockchain.com to give users access to tokenized U.S. exchange-listed stocks and ETFs.

IBM's $10 billion commitment to quantum computing will see the development of a large-scale, fault-tolerant quantum computer by 2029. Bank of America has more than 300 approved AI use cases, including 114 generative AI use cases, with 34 fully implemented across operations.