A major Wall Street lobbying group is urging U.S. regulators to halt the quiet greenlighting of blockchain-based stock offerings by crypto firms.
The Securities Industry and Financial Markets Association (SIFMA) has called on the SEC to reject behind-closed-doors exemptions that could allow digital asset companies to launch tokenized equities without broader public input. SIFMA argues that such decisions should go through a formal, transparent process, warning that approving new trading models without industry-wide consultation poses serious risks.
The concern stems from reports that some crypto firms, including major exchanges, are seeking to launch tokenized versions of stocks using SEC no-action relief — a process where the agency agrees not to pursue enforcement without officially endorsing the activity.
SIFMA emphasized that tokenized equities raise major questions around regulation, investor protections, and oversight, and that these cannot be resolved through private exemptions. The group insists that a public framework is necessary to ensure accountability and market integrity.
As the SEC’s new Crypto Task Force explores tokenization and crypto ETFs, internal discussions are reportedly underway to develop a streamlined approval system. This could result in a new generic listing standard for crypto ETFs — potentially eliminating the need for the complex 19b-4 filing process.
Analysts believe the SEC is moving quickly to finalize a new framework ahead of expected deadlines later this year. However, SIFMA’s pushback signals rising tensions between traditional finance and emerging digital asset strategies, as both sides compete to shape the future of regulated tokenized securities.
Alexander Zdravkov
Reporter at Coindoo
Alexander Zdravkov is passionate about questions of meaning. He is a fluent German speaker as well as He has been in the crypto space for more than three years and has an eye for spotting emerging trends in the world of digital currencies. Whether providing in-depth analysis or reporting on all topics on a daily basis, his deep understanding and enthusiasm for what he does makes him a valuable addition to the team.
Source: https://coindoo.com/wall-street-trade-group-pushes-back-against-quiet-sec-approvals-for-tokenized-stocks/