U.S. SEC Chair: Tokenized securities still fall under securities laws, and DLT technology is expected to enable T+0 settlement

Gate News reports that on March 12, SEC Chairman Paul Atkins stated on the All-In Podcast that distributed ledger technology (DLT) offers many potential advantages for the financial services industry. It is currently at a critical point where T+0 settlement—settling on the same trading day—can be achieved through on-chain digital assets, enabling instant delivery and payment. He noted that to prevent risks such as fraud, appropriate deceleration mechanisms may need to be implemented.

Paul Atkins also mentioned challenges facing the technology, including liquidity issues and the applicability of traditional market best bid and ask concepts in the new system. He emphasized that tokenized securities are still securities in essence, and federal securities laws remain applicable. However, regulators have a responsibility to adjust rules to accommodate new technological environments. The SEC is reviewing regulations on a case-by-case basis to ensure they can adapt to emerging technological developments.

Regarding regulatory coordination, Paul Atkins stated that the SEC is coordinating with the Commodity Futures Trading Commission (CFTC): tokenized securities fall under SEC jurisdiction, while digital currencies, digital tokens, digital tools, or digital collectibles are within CFTC oversight.

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