Article
SEC Issues “Innovation Exemption” To Facilitate Trading Of Tokenized NMS Stock
The SEC has issued a groundbreaking "innovation exemption" allowing tokenized securities to trade through automated market makers and liquidity pools on permissioned venues without traditional exchange registration. This temporary five-year relief creates a novel regulatory framework that substitutes disclosure requirements for certain exchange rules, while imposing strict conditions on trading volume, transparency, and issuer consent.

Dechert
