{"text":[[{"start":0,"text":"The US Securities and Exchange Commission has greenlit trading in tokenised stocks in a move that is expected to push crypto companies more firmly into traditional equity markets."}],[{"start":0,"text":"Tokenised stocks are blockchain-based representations of traditional equities. Proponents say they enable holders to trade them round-the-clock, more cheaply than traditional stocks and more easily used as collateral."}],[{"start":31.12,"text":"The SEC’s long-awaited order comes as the proliferation of stock tokens has come under fire, particularly from companies that object to tokenised versions of their traditionally issued stocks."}],[{"start":42.2,"text":"Retail brokerage Robinhood offers tokenised stocks outside the US, but has faced criticism for offering tokens tied to the stocks without the approval of the issuers."}],[{"start":52.2,"text":"The head of cinema chain AMC, Adam Aron, this month blasted Robinhood, saying “We have no connection to this at all, and do not condone it in any way”, calling the offering a “quasi-fake market” in a series of posts on X."}],[{"start":65.8,"text":"Under the SEC’s so-called innovation exemption, companies such as Robinhood which offer tokenised stocks in the US must “provide written notice and an opportunity to object” to the company whose stock they want to tokenise."}],[{"start":78.14,"text":"The blockchain-based tokens must also give investors “the same rights and privileges” as traditional stocks, such as voting rights, and trading in them must stop at the same time as any stoppage on a traditional venue."}],[{"start":89.86,"text":"Issuers including Robinhood and Kraken owner Payward will have to change the models they currently offer to investors outside the US in order to meet the SEC’s requirements, as they currently do not ask issuers for permission to list their shares and users do not have direct voting rights."}],[{"start":105.34,"text":"The tokens instead essentially act as derivatives that track a company’s share price. The firms can still continue to offer the derivative model to investors outside of the US."}],[{"start":115.4,"text":"The SEC’s innovation exemption comes as the agency’s role in setting rules for the crypto industry is expected to grow in lieu of US laws. A landmark US crypto bill, known as the Clarity Act, failed to advance in the Senate this week, as Democrats insisted on stronger limits on Donald Trump’s ability to profit from the digital assets industry."}],[{"start":134.5,"text":"The order gives venues that want to offer tokenised stock trading a five-year exemption from many rules that apply to platforms such as Nasdaq and the New York Stock Exchange, as the regulator tries to boost digital markets."}],[{"start":149.41,"text":"Crypto companies are fiercely trying to compete with longstanding exchanges and brokerages by giving customers access to tokenised stocks. They largely believe that stocks, bonds, commodities and other assets will all eventually be traded on the blockchain 24/7."}],[{"start":165.42,"text":"Some crypto firms have argued against Robinhood’s derivative model and believe corporate issuers must be involved in the process."}],[{"start":173.16,"text":"“Tokenisation should modernise equity ownership, not create a parallel version of it without the company involved,” said Carlos Domingo, chief executive of Securitize, which works with companies to put their shares directly on the blockchain."}],[{"start":186.36,"text":"Before the SEC’s latest rule, few companies had undertaken direct issuance. Blockchain technology company Figure Technology Solutions issued its own equity on to the blockchain in February."}],[{"start":198.56,"text":"Tokenisation firm Ondo Finance’s Matthieu de Vergnes argues that derivatives tied to equities already exist, such as equity-linked notes or American depositary receipts, which offer US investors exposure to foreign stocks."}],[{"start":211.32,"text":"“It’s most important to make sure it’s regulated and tightly linked to the actual market,” he said."}],[{"start":221.28,"text":""}]],"url":"https://audio.ftcn.net.cn/album/a_1789690927_2826.mp3"}