SEC's "Innovation Exemption" is out.
This means U.S. users can now legally trade tokenised equities via onchain permissioned AMMs.
They outline three key rules:
✦ Tokenised stocks must carry the same rights as the underlying share, including voting rights and dividends.
✦ Contracts must be public, auditable, and deployed on permissionless chains.
✦ If a third party tokenises a stock, the company receives 30 days' notice and can object.
This exemption lasts 5 years, and synthetic assets that provide only price exposure, not full rights, are excluded.
🚨 TODAY: The SEC issued an order granting temporary, conditional exemptive relief to Tokenized Securities Venues from the definition of “exchange” in the Exchange Act to trade tokenized NMS stock using innovative permissioned automated market makers and liquidity pools.