SEC Approves Nasdaq Rule, Opens US Tokenized Securities Trading
SEC Greenlights Nasdaq Rule Change, Clearing Path for Tokenized Securities Trading in US Markets
The US Securities and Exchange Commission has approved a Nasdaq rule change, a regulatory step that clears the way for tokenized securities to be traded within US market infrastructure.
The approval centers on a Nasdaq rule change—a formal update to exchange rules that must be reviewed by the SEC. With the change now greenlit, Nasdaq has a clearer regulatory basis to support the trading of securities represented in tokenized form, rather than relying solely on traditional record-keeping and transfer mechanisms.
Tokenized securities generally refer to traditional financial instruments—such as shares or other regulated securities—whose ownership and transfer are represented using blockchain-based tokens or similar digital records. In practice, tokenization is often discussed as a way to modernize issuance, trading, and post-trade processes, while still operating under securities laws and market oversight.
The decision matters because US exchanges and broker-dealers operate under tightly prescribed rules for how securities are listed, traded, cleared, and settled. By approving an exchange rule change, the SEC is effectively allowing a recognized US venue to adapt its framework to accommodate tokenized representations of securities within a regulated context.
More broadly, the move fits into a continuing industry effort to bring blockchain-based financial infrastructure into established capital markets. Rather than treating tokenization as a separate crypto product category, the Nasdaq rule change positions tokenized securities as something that can be handled through familiar market structures—provided the appropriate rules and controls are in place.
