SEC approves Innovation Exemption for tokenized NMS stocks

SEC: The U.S. Securities and Exchange Commission is the federal regulatory agency responsible for enforcing securities laws, overseeing securities markets, and protecting investors. In the news, the SEC approved a temporary conditional exemption called the Innovation Exemption to facilitate limited trading of tokenized NMS stocks on designated onchain venues known as Tokenized Securities Venues. Mark Uyeda: Mark Uyeda serves as a Commissioner of the U.S. Securities and Exchange Commission. In the news, he released a statement on the SEC's approval of the Innovation Exemption, noting its potential to modernize market functions and support data-driven policymaking. Regulation: The SEC approved a temporary conditional exemption to allow trading of tokenized NMS stocks on certain onchain venues while gathering data for future rulemaking. Tokenization: Tokenization has the potential to modernize core market infrastructure functions such as issuance, trading, transfer, settlement, and ownership recording. Policy Development: The Innovation Exemption is designed as a controlled step toward durable rulemaking for onchain trading of tokenized securities.