The U.S. Securities and Exchange Commission’s Crypto Task Force has held closed-door discussions with Nasdaq and two blockchain companies to examine how public blockchains might be used in the issuance and trading of tokenized securities, according to people familiar with the matter.
The meetings, which took place earlier this month, involved representatives from Nasdaq, Plume Network, and Etherealize. The sessions focused on evaluating the feasibility of blockchain-based platforms for regulated financial instruments. It also included recommendations for establishing a regulatory sandbox to test new products under limited oversight.
Proposals Highlight Blockchain Integration in Capital Markets
Nasdaq proposed the launch of a platform tentatively named “ATS-Digital,” aimed at enabling companies to list digital asset contracts, including those tied to commodities and securities. The exchange operator also advocated for a safe harbour jointly administered by the SEC and the Commodity Futures Trading Commission to provide legal clarity for emerging digital asset models.
Plume Network argued that permissionless public blockchains are best suited for real-world asset tokenization. The firm emphasized the need to revise portions of the Securities Acts of 1933 and 1934 to better align with decentralized finance protocols, citing the importance of ensuring neutral and technology-agnostic regulatory frameworks.
Etherealize’s presentation focused on recognizing certain blockchain networks as official shareholder registries. The company urged the SEC to consider allowing smart contracts to manage corporate actions, such as dividend distributions and shareholder voting, noting potential improvements in transparency and efficiency.
Regulatory Review Underway, No Timetable Set
An SEC spokesperson declined to comment on the meetings but confirmed that discussions with industry stakeholders are part of the agency’s ongoing effort to understand how evolving technologies intersect with federal securities laws.
The regulatory sandbox proposal, if adopted, would allow firms to pilot blockchain-based financial products with fewer immediate compliance burdens. However, any implementation would likely require Commission approval and potential legislative input.
While no decisions have been finalized, the engagement reflects a growing interest among regulators in adapting existing frameworks to accommodate tokenized assets and decentralized platforms. The SEC is expected to continue reviewing input from the firms, but no timeline has been announced for potential rule changes or pilot programs.
The agency’s deliberations follow broader government efforts to address regulatory gaps in the crypto sector, including calls for clearer jurisdictional boundaries between the SEC and CFTC.
