The Securities and Exchange Commission has further delayed its long-awaited tokenization “innovation exemption,” with the holdup tied to unresolved negotiations over the CLARITY Act’s tokenization provisions in Congress. Key Takeaways The SEC’s tokenization innovation exemption has been “further delayed,” per reports. The holdup is linked to Section 10505 of the CLARITY Act, which governs how tokenized securities are regulated. The SEC separately postponed a Friday vote on crypto startup exemptions, citing a scheduling issue. Another Delay for the Innovation Exemption The SEC’s tokenization “innovation exemption,” a proposed framework that would let firms test blockchain-based trading of tokenized U.S. equities without meeting the full slate of standard exchange and broker-dealer requirements, has been pushed back again, per crypto policy
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