SEC Staff Clarifies How Securities Laws Apply to Tokenized Assets

Staff at the U.S. Securities and Exchange Commission (SEC) on Wednesday, Jan. 28, issued new guidance explaining how existing securities laws apply to tokenized securities.

The statement – issued jointly by the Division of Corporation Finance, the Division of Investment Management, and the Division of Trading and Markets – points out that securities issued or represented on blockchains remain subject to the same rules as traditional securities.

Notably, the statement functions as guidance and does not create new rules or change existing law. Instead, it aims to clarify how current securities laws apply as more institutions begin experimenting with tokenized products.

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