Blockchain Association Supports SEC’s Repeal of Parts of Regulation NMS, Calls for Recognition of Tokenized Securities Trading on Public Chains

Odaily News: The Blockchain Association has submitted a comment letter to the U.S. Securities and Exchange Commission (SEC) supporting the SEC’s proposal to repeal Rule 611 and Rule 610(e) under Regulation NMS. The association stated that the two rules, in effect since 2005, have failed to achieve their original objectives and have instead increased costs for market participants over the past two decades. Against the backdrop of greater market automation and the accelerating tokenization of assets on public chains, the association believes the current rules are stifling the development of tokenized market infrastructure. It also urged the SEC to update its “best execution” guidance to formally recognize that tokenized securities trading on public chains can satisfy regulatory requirements, acknowledging on-chain execution mechanisms as compliant, fair, and efficient means of execution.