Fidelity Pushes for SEC Rules on Tokenized Asset Trading

The letter was addressed to the SEC's Crypto Task Force in response to its open call for public input earlier this month.

Crypto News

Fidelity Investments submitted a formal letter to the U.S. Securities and Exchange Commission on Friday calling for a broader regulatory framework covering how broker-dealers offer, custody, and trade crypto assets. The

was addressed to the SEC's Crypto Task Force in response to its open call for public input earlier this month.

Fidelity, the third-largest asset manager in the United States,

it as "critical" for the SEC to establish clear rules for trading tokenized securities on alternative trading systems. The company said that the framework must also cover tokenized instruments issued by third-party providers, not only those that a broker-dealer issues itself.

The letter

that tokenized real-world assets span a wide range of asset classes. Those include equities, real estate, bonds, and private credit, each with different issuance structures, legal characteristics, and valuation models. In some structures, a token represents the holder's indirect interest in the underlying security through a securities entitlement. In others, it may function as a securities-based swap, which can only be offered to eligible contract participants.