SEC Proposes Repeal of Rule 611: A Breakthrough for Tokenized Stocks

The US Securities and Exchange Commission (SEC) has proposed rescinding Rule 611 and 610(e) of Regulation NMS, which requires trading venues to prevent 'trade-throughs' in US equity markets.

Galaxy Digital's Head of Firmwide Research, Alex Thorn, called the rule 'one of the biggest structural barriers' to tokenized US equities trading in decentralized finance (DeFi).

The SEC plans to simplify market structure and reduce costs for market participants while allowing competition, innovation, and other market forces to shape the evolution of equity markets.