Fidelity Advocates for Enhanced Crypto Regulations with SEC
- Fidelity Investments urged the SEC to develop a regulatory framework for broker-dealers to trade crypto assets on alternative trading systems (ATS).
- The letter emphasized the need for clear rules governing tokenized securities, which include various asset classes like equities and real estate.
- Fidelity highlighted differences in tokenization models, noting that some represent indirect interests in underlying securities.
- The company called for bridging regulatory gaps between centralized and decentralized trading systems.
- Fidelity also recommended allowing broker-dealers to utilize distributed ledger technology for recordkeeping purposes.
The SEC has been encouraged to support the development of a comprehensive regulatory framework that accommodates both centralized and decentralized finance (DeFi) platforms, reflecting the evolving nature of crypto trading environments.
Fidelity’s advocacy is significant as it aligns with ongoing discussions about the regulation of tokenized securities, emphasizing their subjectivity to existing capital rules.(Source)
