Global stock exchanges warn the SEC’s “innovation exemption” could weaken investor protections.
Exchanges caution that even if new SEC rules boost Bitcoin’s institutional adoption, innovation should prioritize market integrity.
A coalition of leading stock exchanges, involving Nasdaq and Germany’s Deutsche Boerse, has urged the U.S. Securities and Exchange Commission (SEC) to proceed with caution on its proposed “innovation exemption” for crypto firms. The term “innovation exemption” is proposed by the SEC, which allows crypto firms to experiment with new financial products, like tokenized stocks, without full traditional registration, while still under limited regulatory oversight.
The exemption is currently under development by SEC Chair Paul Atkins. Atkins’s proposal would allow unregistered companies to experiment with tokenized stocks and crypto tokens entitled to listed equities without full broker-dealer registration. He thinks that this special pass will
