SEC Chair Paul Atkins said the SEC is moving forward with its “Innovation Exemption” after Congress failed to advance the CLARITY Act.
Key exemptions include:
• Tokenized Securities Venues (TSVs) exempt from the definition of “exchange” • Certain liquidity providers exempt from the definition of “dealer” • Permissioned access only • No synthetic tokenized stocks • Issuers can object to the trading of their securities
Anti-fraud and anti-manipulation rules remain fully in effect.
The exemption is temporary and conditional, allowing the SEC to facilitate onchain trading of certain tokenized stocks while it considers longer-term rules.