based on materials from the site - By Cointelegraph
The U.S. Securities and Exchange Commission (SEC) met with industry representatives to discuss a token standard to ensure the issuance and transfer of tokenized securities in accordance with regulatory requirements.
On Thursday, the SEC's cryptocurrency working group met with organizations related to Ethereum, including the ERC-3643 Association, Chainlink Labs, the Enterprise Ethereum Alliance, and the Linux Foundation (LF) Decentralized Trust.
During the meeting, blockchain proponents and the SEC discussed how open standards, such as ERC-3643, and compliance frameworks, such as Chainlink's Automated Compliance Engine (ACE), can help connect on-chain technologies with traditional regulatory requirements.
ERC-3643 is a token standard designed to serve as the basis for ensuring compliance with capital market regulatory requirements on the Ethereum network. It is supported by the ERC-3643 Association and companies such as Chainlink. Chainlink ACE is a smart contract-based platform for tokenized assets, such as securities or real-world assets (RWA).
Dennis O’Connell, president of the ERC-3643 Association, told Cointelegraph that the SEC demonstrated a noticeable change in tone and approach at the meeting compared to previous years.
‘The target group was very welcoming, interested, and motivated to bring the U.S. to leadership,’ O’Connell told Cointelegraph.
O’Connell noted that the SEC showed openness to industry standards during the meeting. He told Cointelegraph that the working group had not previously considered the importance of open standards in blockchain.
«We outlined our position on why, as in other sectors, including traditional finance, standards are fundamental to the development of cryptocurrencies in the U.S. and to enable the transition of securities to blockchain,» O’Connell added.
At the meeting, industry representatives presented proposals on all key elements of the regulatory framework for tokenized securities. This included identification, compliance, registry, and control.
O’Connell told Cointelegraph that the working group has not yet made a final decision on tokenized securities. He stated that they are 'open to understanding how new technologies in blockchain address issues related to identification, control, and compliance.'
O’Connell stated that the meeting was the result of months of behind-the-scenes work, which ultimately became 'an important step for the industry.'
He stated that the ERC-3643 Association and its partners plan to continue engaging with the SEC's cryptocurrency working group and other U.S. government agencies in the hope that the U.S. will catch up with global regulation and ultimately become leaders in implementing blockchain in capital markets.
After the meeting, the head of the SEC made positive remarks, indicating support for tokenization in the U.S.
On Friday, Bloomberg reported that SEC Chairman Paul Atkins is considering creating an exception within the agency’s framework for innovations to stimulate tokenization.
Atkins stated that the Securities and Exchange Commission (SEC) is considering changes that would facilitate tokenization, including an exception that would allow new trading methods to support the development of tokenized securities.
‘If something can be tokenized, it will be tokenized,’ Atkins said, acknowledging the inevitability of assets transitioning to blockchain.
#MarketRebound , #Сryptomarketnews
Dear readers! Among you are many people who have enough time to independently monitor the information agenda of the crypto market and the world of finance. So, subscribing to 'our news feed' is usually used by those of you who find it much more convenient to read all the most interesting changes in the news agenda of the world of finance and cryptocurrencies in one group, rather than independently monitoring about twenty information websites and print publications (where we have already conducted this monitoring for you)!!! As they say, ‘to each their own.’ 😀
Enjoy your viewing! Your reaction to the news you read is the best reward for us!!!
😉
