The U.S. Securities and Exchange Commission (SEC) has initiated dialogues with Solana MEV infrastructure firm Jito Labs and industry leaders to explore blockchain-native regulatory compliance solutions. These discussions, facilitated by the SEC’s Crypto Task Force, centered on integrating novel blockchain mechanisms into the agency’s regulatory frameworks.
A key focus was Project Open, a Solana-backed pilot program proposing a regulatory sandbox for issuing and trading registered digital securities—termed ‘Token Shares’—on public blockchains. The initiative features KYC-verified wallets and smart contract-enabled trading protocols designed to maintain regulatory compliance while leveraging blockchain infrastructure.
During the meetings, Jito Labs and financial media platform Blockworks presented technical proposals including a Token Transparency Framework and Market Maker Disclosure System. These solutions aim to enhance investor protection and market integrity through visibility into token distribution and trading activities.
This engagement signals the SEC’s strategic shift toward blockchain-native regulatory approaches that balance compliance requirements with decentralization principles. The initiatives collectively seek to modernize cryptocurrency oversight by prioritizing transparency, investor safeguards, and innovative regulatory methodologies.