SEC Set to Drop Innovation Exemption for Tokenized Stocks as Early as This Week!

The U.S. Securities and Exchange Commission is expected to publish its long-anticipated innovation exemption for tokenized stocks as early as this week, according to Bloomberg sources familiar with the matter. The framework would allow traditional financial institutions to experiment with blockchain-based securities without navigating a full registration process — a significant regulatory unlock for an industry that has been waiting on exactly this kind of structured permission.

The move follows a string of SEC actions that have been quietly building the rails: a March rule change greenlighting Nasdaq to support tokenized share trading, an April approval of the NYSE's own rule change, and a December authorization allowing the DTCC to tokenize highly liquid assets on pre-approved blockchains under a three-year window. The NYSE is already developing a 24/7 onchain settlement platform in…