SEC explores Ethereum token standard for compliant securities

Key Points

1. The SEC’s Crypto Task Force met with Ethereum-aligned organizations, including the ERC-3643 Association, Chainlink Labs, and the Enterprise Ethereum Alliance, to discuss blockchain compliance and token standards.

2. ERC-3643 is a token standard backed by the ERC-3643 Association, aimed at facilitating compliant securities on the blockchain.

3. Dennis O’Connell, president of the ERC-3643 Association, described the meeting as a 'major step for the industry' and noted the SEC's engagement and motivation to support crypto and onchain securities in the US.

4. The discussion focused on elements of a regulatory framework for tokenized securities, including identity, compliance, registry, and control.

5. SEC Chair Paul Atkins expressed support for tokenization, stating that the movement of assets to the blockchain is inevitable and that the SEC is considering changes to promote it.