SEC and CFTC urge bipartisan support for tokenization
6.6 Regulation SEC and CFTC leaders urge bipartisan support and regulatory innovation for tokenization, blockchain, and 24/7 trading, advancing digital asset integration in U.S. markets.
SEC Director Jamie Selway is urging bipartisan support for tokenization and cryptocurrency, stressing that these topics should not be politicized. He argues that modernizing markets with digital assets is a shared objective, and that tokenized securities deserve equal treatment to traditional ones under current law. Recently, the SEC introduced an "Innovation Exemption," allowing venues to trade tokenized NMS stocks without full exchange registration for five years. This includes AMM-style liquidity pools, signaling a more flexible approach to digital asset trading. Meanwhile, CFTC Chairman Michael Selig is calling on U.S. financial markets to prepare for mass tokenization, blockchain-based finance, and 24/7 trading. Selig believes blockchain and AI will transform markets more in the next decade than ever before. The CFTC is exploring broader stablecoin use, 24/7 derivatives trading, and has added certain stablecoins to its eligible collateral list. Both agencies are advancing digital asset initiatives despite stalled legislation, indicating a shift toward regulatory innovation.
