SEC delays innovation exception for US equity token trading after pushback from traditional exchanges
The SEC has postponed its framework for allowing crypto platforms to trade tokenized US equities due to concerns from traditional exchanges. Nasdaq and NYSE raised issues regarding investor protection and market fragmentation, leading to the delay without a new timeline. This decision introduces uncertainty for investors and projects in the tokenized securities space.
- ▪The SEC was expected to release its tokenized equity framework between May 18 and 22, but did not.
- ▪Concerns from Nasdaq and NYSE about investor protection and competitive fairness prompted the SEC to shelve the proposal.
- ▪The proposed framework aimed to allow trading of blockchain-based representations of public equities with features like 24/7 trading and fractional ownership.
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SEC delays innovation exception for US equity token trading after pushback from traditional exchanges Nasdaq, NYSE, and market participants raised concerns about investor protection and market fragmentation, pushing the SEC to shelve its tokenized equity framework with no new timeline in sight. Share Add us on Google by Editorial Team May. 22, 2026 window.sevioads = window.sevioads || []; var sevioads_preferences = []; sevioads_preferences[0] = {}; sevioads_preferences[0].zone = "01f21ccf-2092-46b1-9ac7-8c44cc782e0f"; sevioads_preferences[0].adType = "native"; sevioads_preferences[0].inventoryId = "c5700508-581b-472c-8fdd-a931cdbfc8e1"; sevioads_preferences[0].accountId = "1e47efc1-ec2d-4fca-a8b9-354e249e5095"; sevioads.push(sevioads_preferences); The SEC was supposed to release its…
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