SEC issues five-year exemption for tokenized U.S. stock trading

SEC tokenized stocks Innovation Exemption blockchain trading capital markets

The U.S. Securities and Exchange Commission (SEC) has introduced a five-year ‘Innovation Exemption’ to facilitate the onchain trading of tokenized National Market System (NMS) stocks. This regulatory move, announced on September 17, 2026, follows the Senate's failure to pass the CLARITY Act. SEC Chair Paul Atkins stated the measure aims to bring American capital markets into the digital age by utilizing existing statutory authority.

The exemption creates a new category of market participants known as Tokenized Securities Venues (TSVs). These venues are exempt from being classified as traditional exchanges under the Exchange Act, allowing them to use permissioned automated market makers (AMMs) and liquidity pools. Additionally, certain liquidity providers acting as ‘Covered Firms’ are exempt from dealer registration when using their own capital.

To ensure investor protection, the SEC has imposed strict conditions. Tokenized assets must provide the same economic and legal rights as traditional shares, including dividends and voting rights; synthetic tokens that only track price are explicitly excluded. TSVs must be U.S.-based entities and adhere to transparency and volume limits. Furthermore, companies whose shares are tokenized must be notified 30 days in advance, maintaining a right to object to the process.

Entities

Coinbase · Commodity Futures Trading Commission · Kraken · Nasdaq · Paul Atkins · Robinhood Markets · Securities and Exchange Commission · U.S. Securities and Exchange Commission · U.S. Senate · United States Senate

Claims

What the coverage asserts, and how many sources carry each claim.

[● 14 SOURCES] The exemption is granted for a period of five years. journalducoin.com · cryptoast.fr · www.blocktempo.com · blogtienao.com · bitfinanzas.com · +9 more
[● 7 SOURCES] Certain market makers, referred to as ‘Covered Firms’, are exempt from the definition of dealer when using their own capital. journalducoin.com · cryptoast.fr · nosmokesport.com · www.blocktempo.com · www.cryptopolitan.com · +2 more
[● 7 SOURCES] The exemption allows Tokenized Securities Venues (TSV) to trade tokenized National Market System (NMS) stock. www.coincu.com · cryptoast.fr · www.blocktempo.com · nosmokesport.com · coindoo.com · +2 more
[● 9 SOURCES] SEC Chair Paul Atkins stated the move aims to bring American capital markets into the digital age following the failure of the CLARITY Act in the Senate. cryptoast.fr · www.criptotendencias.com · www.blocktempo.com · nosmokesport.com · bitfinanzas.com · +4 more
[● 5 SOURCES] The SEC issued an ‘Innovation Exemption’ on September 17, 2026. journalducoin.com · www.coincu.com · cryptoast.fr · nosmokesport.com · www.cryptopolitan.com
[● 7 SOURCES] Qualifying market participants may use permissioned automated market makers and liquidity pools. journalducoin.com · cryptoast.fr · nosmokesport.com · coindoo.com · www.blocktempo.com · +2 more
[● 8 SOURCES] The exemption specifically excludes synthetic tokens that only track price, requiring tokenized assets to provide actual dividend and voting rights. www.blocktempo.com · blogtienao.com · bitfinanzas.com · www.cryptopolitan.com · coinpedia.org · +3 more
[● 6 SOURCES] Issuers of the underlying stocks have a 30-day window to object to the tokenization of their shares on a TSV. www.blocktempo.com · bitfinanzas.com · www.cryptopolitan.com · www.dagensps.se · blockchainseoul.kr · +1 more