Just as the internet transformed how information is distributed, blockchain technologies enable new kinds of digital infrastructure that will transform how digital property is owned and transferred. That transformation is already underway with respect to payments, where stablecoin usage is rapidly growing in popularity. Next, it will bring significant efficiency gains and other benefits to our securities markets in the form of tokenized securities.
Unlocking these benefits will require modernizing aspects of U.S. securities laws to account for the technical capabilities of blockchain systems and the market structure of tokenized systems. But that work must be done with care. The transformation underway holds great promise, but it also touches critical infrastructure that supports investor confidence and market integrity across U.S. capital markets. Any regulatory shift should be calibrated to preserve those foundations while allowing innovation to proceed responsibly.
That’s why we submitted a response to the Securities and Exchange Commission’s Crypto Task Force questions concerning tokenized securities as well as broker-dealer capital and records. The SEC is asking the right questions and we’re glad to contribute our perspective as long-term investors in blockchain systems. Here’s a quick walkthrough of some of the ideas we shared. (For a full roundup, read our submissions on tokenized securities and broker dealer principles.)
