Securities Regulation Daily Wrap Up, BLOCKCHAIN—Will tokenized securities trading be coming to U.S. markets?, (Feb 10, 2026)
Commissioner Uyeda also provided an update on the state of implementation of the Treasury clearing rule.
Speaking at the “Asset Management Derivatives Forum 2026: Treasuries and Tokenization,” SEC Commissioner Mark T. Uyeda suggested that securities trading could benefit from tokenization. In the speech, Uyeda offered a glimpse of one version of the future of securities markets while offering an update on where SEC’s efforts to implement the Treasury clearing rule stand.
With respect to tokenization, Uyeda described the current U.S. securities market as one driven by many layers of intermediation, in other words, multiple firms that serve as middlemen between issuers of securities and the investors who buy them. That structure, Uyeda added, often forms an assumption that underlies SEC regulations. But Uyeda said he would like to see the SEC continue to foster an environment of innovation and discovery that may lead to the tokenization of securities trading.
“Properly implemented, tokenization can enhance security, transparency, and immutability by encoding rights on digital tokens and recording their provenance on distributed ledgers,” said Uyeda. “It can reduce reliance on intermediaries, streamline transaction lifecycles, and lower operational costs—without sacrificing safeguards that have long protected investors.”
According to Uyeda, any SEC rules on tokenization should be technology-neutral and focus primarily on outcomes rather than being weighed down by issues related to processes. Uyeda also said the SEC has already shifted its stance on oversight of innovation in markets more generally by placing less emphasis on enforcement and increasing the use of sub-regulatory guidance.
“The SEC’s goal should be neither to bless every new innovation nor to resist change reflexively,” said Uyeda. “Rather, it is to use its regulatory tools—including definitional authority and exemptive relief—so that the administration of the federal securities laws can evolve to address new technologies and innovation. Part of this responsibility includes providing transparency as to what is permitted, what requires prior authorization, and what is prohibited.”
Uyeda had opened his speech with a recap of where regulatory efforts stand regarding implementation of the Treasury clearing rule. Here, Uyeda noted several developments, including an expansion of the number of clearing agencies from one to three clearing agencies. He also noted the several pending rule change proposals and requests for exemptive relief that may ease the transition to the new rule.
Uyeda said that going forward several questions will need to be answered regarding the inter-affiliate exemption, including whether to include more types of entities in the definition of affiliate. Other guidance questions focus on whether market participants will be able to continue certain practices, (e.g., practices around liquidity) and how broadly the rule may reach overseas.
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