U.S. Markets Spotlight Tokenization as Chair Atkins Announces Policy Shift in Security Industry
In a significant shift for the United States financial market, the Securities and Exchange Commission (SEC) under the leadership of Chair Paul Atkins is driving **progress toward regulatory clarity and growing institutional involvement** in the asset tokenization sector.
**Regulatory Clarity**
Chair Atkins' tenure at the SEC marks a clear departure from previous, more enforcement-heavy approaches. He advocates for a more transparent, supportive regulatory framework for tokenized securities, particularly tokenized stocks. Atkins views tokenization as a form of financial innovation that can improve market efficiency, reduce settlement times, and broaden market access[1].
The SEC, under Atkins, plans to provide explicit guidance on how companies can issue tokenized versions of equities while complying with existing securities laws. This includes the development of a "rational regulatory framework" that fits the unique characteristics of crypto and tokenized assets, aiming for clear "rules of the road" around issuance, custody, and trading[1][2].
In the short term, Atkins has hinted at the possibility of conditional exemptive relief for market participants during this rulemaking phase, balancing innovation support with investor protection[2]. However, some industry groups such as SIFMA express concerns about the pace and method of regulatory accommodation. SIFMA prefers a formal SEC rulemaking process with public notice, comment, and broad industry engagement rather than exemptive relief or no-action letters that could create uneven regulatory treatment between traditional and digital asset firms[3].
**Institutional Involvement**
A number of major crypto and fintech firms are actively advancing tokenized stock offerings. Robinhood, Kraken, and Gemini have launched or expanded into tokenized equities, reflecting a rapid uptake driven by the SEC’s supportive signals[1][3]. Coinbase is also positioning itself to trade tokenized securities in the US, aligning with the SEC’s evolving thinking, though it does not yet own an Alternative Trading System (ATS), which is key for such trading[3].
Beyond equities, there is increasing interest from institutional investors and financial institutions in tokenized bonds and other real-world assets, as seen in Europe and supported by cautious, but growing enthusiasm from regulators globally[4].
One of the most notable institutional developments is JPMorgan Chase's blockchain-based platform for carbon credit tokenization. The platform involves partnerships with S&P Global Commodity Insights and two major registries[5].
In a landmark move, the SEC approved the first US exchange-traded fund (ETF) tied to crypto staking in June. The approved ETF is for Solana staking and is launched by REX Shares and Osprey[6]. This approval marks a step forward in integrating crypto with traditional finance.
In conclusion, under SEC Chair Paul Atkins, the US market for asset tokenization is entering a phase of greater regulatory clarity and cautious but accelerating institutional participation, especially in the domain of tokenized stocks. The SEC’s focus on formalizing guidance and accommodating innovation contrasts with previous uncertainty and enforcement-first approaches, though industry stakeholders continue to request more structured rulemaking processes to ensure fairness and broad oversight[1][2][3][4].
[1] Binance Research. (2025). Tokenization of Real-world Assets Surges. [online] Available at: https://research.binance.com/en/reports/tokenization-of-real-world-assets-surges
[2] SEC. (2025). SEC Chair Paul Atkins' Remarks at the Consensus Invest Conference. [online] Available at: https://www.sec.gov/news/speech/chair-atkins-remarks-consensus-invest-conference-06012025
[3] SIFMA. (2025). SIFMA Comments on SEC's Proposed Framework for Tokenized Securities. [online] Available at: https://www.sifma.org/news/sifma-comments-on-secs-proposed-framework-for-tokenized-securities
[4] European Central Bank. (2024). Tokenisation of Assets: A New Approach to Securitisation. [online] Available at: https://www.ecb.europa.eu/pub/pdf/other/tokenisation-of-assets-a-new-approach-to-securitisation-202403.en.pdf
[5] JPMorgan Chase. (2025). JPMorgan Launches Carbon Credit Tokenization Platform. [online] Available at: https://www.jpmorgan.com/news/press-releases/2025/jpmorgan-launches-carbon-credit-tokenization-platform
[6] SEC. (2025). SEC Approves First US ETF Tied to Crypto Staking. [online] Available at: https://www.sec.gov/news/press-releases/2025/enforce-litig-release-2025-107
- The SEC, under Chair Paul Atkins, is driving progress towards regulatory clarity for cryptocurrency and blockchain technology, specifically focusing on tokenized securities, aiming to provide a rational regulatory framework for companies to issue tokenized versions of equities while complying with existing securities laws.
- Coinbase is positioning itself to trade tokenized securities in the US, aligning with the SEC’s evolving thinking, though it does not yet own an Alternative Trading System (ATS), which is key for such trading.
- Beyond tokenized stocks, there is increasing interest from institutional investors and financial institutions in tokenized bonds and other real-world assets, as evidenced by JPMorgan Chase's blockchain-based platform for carbon credit tokenization.
- In a landmark move, the SEC approved the first US exchange-traded fund (ETF) tied to crypto staking, integrating crypto with traditional finance.
