#distributed-ledger

➤ The SEC is reportedly developing an 'innovation exemption' to allow for the trading of tokenized stocks, potentially reconfiguring the U.S. stock market. ➤ This framework could enable trading of tokenized securities without issuer consent, raising concerns about market fragmentation, investor protection, and potential vulnerabilities like hacks and lack of standards. ➤ Industry players like SIFMA and Citadel Securities have warned about the impact on KYC and AML laws, while Securitize highlights the risk of market fragmentation and investor uncertainty.

➤ Broadridge is expanding its tokenization infrastructure to support a wider range of asset classes, integrating digital assets into existing market frameworks. ➤ The company's strategy focuses on operational compatibility and interoperability, treating tokenization as an extension of current infrastructure rather than a replacement. ➤ This move signifies a broader industry trend towards integrating tokenized assets into established trading and post-trade systems to overcome adoption barriers.