SEC Delays Release of Tokenized Stock Framework Amid Market Concerns

The US Securities and Exchange Commission (SEC) has delayed the release of its proposed framework for tokenized versions of US stocks, citing concerns from market participants.

The plan aimed to allow crypto firms to trade blockchain-based representations of stocks like Apple or Tesla, promising 24/7 trading, faster settlement, and easier fractional ownership. However, stock exchange officials and industry players raised alarms over potential liquidity fragmentation and investor protection issues.

Tokenized real-world assets (RWAs) have surged to over $34 billion in value, with tokenized equities exceeding $1 billion in market value. Ethereum leads platforms, followed by Solana. BlackRock's BUIDL fund and similar products demonstrate strong institutional interest in on-chain assets.