SEC hears proposal on tokenised securities from Ondo Finance
The Crypto Asset Working Group reviewed Ondo’s proposal addressing key regulatory and legal challenges for tokenised securities.
Ondo Finance has presented a regulatory framework to the US Securities and Exchange Commission (SEC) for tokenising publicly traded securities. The proposal was discussed during a meeting with the SEC’s Crypto Asset Working Group.
The conversation centred on how current financial rules could be applied to tokenised versions of traditional securities on blockchain networks. Ondo addressed issues surrounding registration, broker-dealer obligations, market oversight, and state corporate law.
The company also suggested sandbox arrangements or temporary relief mechanisms that could foster innovation while maintaining investor protections.
CEO Nathan Allman and CSO Ian De Bode presented structural models to address regulatory uncertainties. Their goal is to create a legally sound method for issuing digital representations of traditional financial instruments.
Separately, the SEC is set to hold a Crypto Task Force Roundtable on 25 April in Washington, D.C. The event will cover digital asset custody, with panels featuring experts from Kraken, Anchorage, Fireblocks, and top universities like Georgetown and UPenn.
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