SEC Reveals Game-Changing Tokenized Stock Rule – Is Your Portfolio Ready?

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SEC Prepares Tokenized Stock Rules as Onchain Market Tops $1.4 Billion

The Securities and Exchange Commission (SEC) is expected to soon announce a new plan that would allow the trading of digital versions of traditional stocks. This move could open up opportunities for trading tokenized shares of public companies.

This new rule could allow companies to monitor stock prices using digital tokens even if the publicly traded companies haven’t approved it or aren’t involved. This represents a significant change in how Washington regulates digital securities.

SEC Set to Unveil “Innovation Exemption” for Tokenized Stocks 

I’m hearing from Bloomberg that they might release details on this ‘innovation exemption’ for crypto as soon as this week. Basically, it sounds like tokens traded on decentralized platforms wouldn’t necessarily come with the same rights as owning traditional stock – things like voting in company decisions or getting dividends. It’s a different beast altogether, which could be a big shift for how crypto is regulated.

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As an analyst, I’m tracking a significant development from the SEC. They’re preparing to unveil a new framework, potentially as early as this week, that would allow for the blockchain-based trading of tokenized US stocks. From what I’m seeing, Ondo Finance appears to be a key player in this initiative and likely at the center of how this new framework will be implemented.

— BeInCrypto (@beincrypto) May 19, 2026

Tokenization is quickly becoming a major trend in the cryptocurrency world, and big players on Wall Street are rushing to get involved.

Starting in July 2026, the DTCC will begin processing a small number of trades involving securities that have been converted into digital tokens through its new service. They plan to expand this service to handle a wider range of trades by October 2026.

In early 2026, Nasdaq announced it was working on a new design for digital equity tokens. Shortly after, in January, the New York Stock Exchange stated it was building a system to trade and finalize transactions for tokenized stocks.

Tokenized Stocks Surge 30% 

The market for tokenized stocks has grown significantly in the last month. According to RWA.xyz, these digital stocks now have a total value of $1.4 billion, representing 2,246 different assets. This is a nearly 30% increase in just the past 30 days.

We’ve seen $3.24 billion in transfers this month. At the same time, the number of people holding the asset increased by 25%, reaching around 265,000.

Ondo is currently the market leader with $883 million in tokenized equity, representing 59.77% of the total. xStocks is second, with $404.5 million, or 27.38% of the market.

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2026-05-19 07:47