A commissioner of the U.S. Securities and Exchange Commission (SEC) has reiterated that tokenized securities must comply with existing federal securities regulations, including fundamental registration and disclosure requirements.
While acknowledging technological innovations in securities tokenization, the regulator emphasized these digital assets remain bound by longstanding securities laws. All offerings qualifying as securities must undergo proper registration or seek valid exemptions under federal oversight.
The SEC confirmed mandatory disclosure protocols apply to token issuers, requiring transparent investor communications covering risks, operations, and financial positions. This position reinforces the commission’s ongoing commitment to applying traditional investor protection frameworks to emergent digital asset structures.