SEC Delays Exemptions for Crypto Firms to Trade Tokenized US Stocks as Draft Plan Was Ready
Updated
Updated · Bloomberg · May 22
SEC Delays Exemptions for Crypto Firms to Trade Tokenized US Stocks as Draft Plan Was Ready
13 articles · Updated · Bloomberg · May 22
The SEC has postponed a plan that would have broadly exempted US crypto firms to trade tokenized assets tied to stocks, according to people familiar with the matter.
Staff had been preparing to release the so-called innovation exemption as soon as this week, and a draft had already been prepared and reviewed internally.
The delay stalls a near-term path for crypto platforms seeking regulatory relief to offer blockchain-based versions of US equities.
What undisclosed risks have forced the SEC to halt its plan for tokenized stocks, delaying Wall Street's digital future?
Is the SEC's conflicting crypto guidance a deliberate strategy or a sign of internal division on digital assets?
SEC Delays "Innovation Exemption" for Tokenized U.S. Stocks: Key Hurdles, Industry Reactions, and the Future of Digital Equities (May 2026)
Overview
On May 22, 2026, the SEC postponed its 'innovation exemption' for tokenized U.S. stocks, highlighting the ongoing tension between fast-moving crypto innovation and the need for market stability. This exemption aimed to bring blockchain features like 24/7 trading and faster settlements to traditional U.S. stocks, while keeping these assets under SEC regulation. The delay comes as the market for tokenized real-world assets is growing rapidly, but unresolved complexities and concerns about integrating new technology into established financial systems remain. This cautious approach reflects the challenges of balancing innovation with regulatory oversight.