In a recent interview, SEC member Mark Uyeda discussed the potential changes that tokenization could bring to financial markets, as well as current regulatory issues regarding cryptocurrencies.
Future of Stock Trading and Tokenization
Uyeda expressed the view that tokenization could usher in a new era in stock trading. He pointed out that we used to trade with paper, and now we use electronic records. Tokenization could be the next phase.
Regulation of Tokenized Assets
Uyeda also emphasized that there are many questions regarding the regulation of tokenized securities. He stressed that the top priority remains to protect investors and ensure security measures against conflicts of interest. Suggestions from market participants are expected regarding this process, which may take time.
SEC's Approach to Stablecoins and Memecoins
Uyeda stated that the SEC does not consider non-profit stablecoins as securities since they do not yield interest or dividends. He also indicated that memecoins and NFTs are not securities by themselves but can become so if included in investment structures.
Overall, Uyeda's statements indicate that transparent and predictable regulation is vital for the continued development of the cryptocurrency market and for investor protection.
