Content Editor: Peter_Techub News

According to the views expressed by SEC Chairman Paul Atkins in a dialogue about private markets and regulation, stock tokenization is seen as an important financial innovation. The SEC is committed to promoting market innovation through a transparent regulatory framework, particularly in the realm of private markets. The following article, based on the dialogue, focuses on Atkins' views on stock tokenization and its impact on private markets and regulation.

In the context of the rapidly evolving financial markets, SEC Chairman Paul Atkins emphasized that tokenization, as an innovative technology, can significantly enhance market efficiency and reduce transaction costs. He stated, "Tokenization is an innovation, and our duty at the SEC is to think about how to promote innovation in the market."

Atkins pointed out that in recent years, the SEC has faced obstacles to market innovation, primarily due to unclear regulatory rules, relying more on a "regulation through enforcement" approach. This situation has led to a lack of clear guidance for market participants regarding compliance pathways, thus limiting innovation.

However, Atkins made it clear that this situation has ended. His goal is to make regulation more transparent, providing a solid compliance foundation for market participants to support the development of new products and innovative practices. He said, "My goal is to make regulation transparent, to provide a solid foundation for innovation, and to make it clear what people should do."

The Potential of Stock Tokenization

Atkins specifically mentioned that stock tokenization is one of the important directions for enhancing market efficiency, particularly in the following two areas:

• Improved Transaction Settlement Efficiency: Tokenization can significantly optimize the settlement process of securities transactions. Atkins noted that his predecessor promoted the "T+1" settlement mechanism (i.e., settlement and clearing completed the day after the trading day), and tokenization is the next step towards a more efficient market. By converting stocks (especially publicly traded stocks in the U.S. or private company stocks like SpaceX) into on-chain tokens, the transaction settlement time is expected to be further shortened, and costs will be significantly reduced. He pointed out, "Tokenization can bring huge cost savings and enhance market certainty."

• Access for Private Companies and Private Credit Markets: Tokenization is not only applicable to publicly traded stocks but also opens up new investment opportunities for private companies and private credit markets. For example, tokenizing equity in private companies like SpaceX can provide individual investors with the opportunity to participate in high-potential assets. Additionally, tokenization may improve individual investors' access to private credit markets. However, Atkins also acknowledged that these markets have lower liquidity and higher valuation difficulties, especially for individual investors, and the new investment areas brought by tokenization still require cautious exploration.

Regulatory Vision for Promoting Innovation

Atkins emphasized that the SEC's mission is not only to protect investors but also to encourage market innovation through clear rules and a transparent regulatory environment. He stated that technologies like tokenization can make the trading and holding of securities more convenient while enhancing market certainty and efficiency. He specifically mentioned that tokenization is another important step following the "T+1" settlement mechanism, which will further drive the market towards greater efficiency and modernization.

Regarding the new opportunities brought by tokenization, Atkins believes that this is not only a technological breakthrough but also a revolution in the traditional financial system. Through tokenization, investors can more easily participate in a diverse range of asset classes, and the market will benefit from greater transparency and efficiency.

Paul Atkins' speech conveyed a clear message: the SEC will actively embrace financial innovation, especially in cutting-edge areas like stock tokenization. By establishing transparent regulatory rules, the SEC is committed to providing market participants with confidence and support for innovation. Whether it is stock tokenization in the public market or access to private companies and private credit markets, tokenization brings new possibilities to the financial market. In the future, as the regulatory environment improves and technology matures further, tokenization is expected to become an important force in reshaping the financial market.

免责声明：本文章仅代表作者个人观点，不代表本平台的立场和观点。本文章仅供信息分享，不构成对任何人的任何投资建议。用户与作者之间的任何争议，与本平台无关。如网页中刊载的文章或图片涉及侵权，请提供相关的权利证明和身份证明发送邮件到support@aicoin.com，本平台相关工作人员将会进行核查。