SEC Reviews Nasdaq’s Tokenized Securities Proposal Amid Industry Debate
The SEC has initiated proceedings to evaluate Nasdaq's groundbreaking proposal to list and trade tokenized securities. This MOVE represents a significant step toward integrating blockchain technology with traditional capital markets.
Market participants are divided on the proposal, with some praising its potential to enhance efficiency and transparency, while others voice concerns about investor protection risks. The SEC's cautious approach mirrors its recent no-action letter to DTCC regarding asset tokenization.
Key industry groups have submitted conflicting feedback during the public comment period. The commission's decision will likely set important precedents for how regulated exchanges can leverage distributed ledger technology.