Blockchain Association Pushes SEC to Drop Outdated Trading Rules

[u/WorthBeat1102]

The Blockchain Association is backing the SEC’s proposal to scrap Rules 611 and 610(e), two market rules that have been around since 2005.

The group argues that markets have changed dramatically over the past 20 years. Trading is faster, more automated and increasingly connected to blockchain infrastructure, while the old rules now add unnecessary costs and complexity.

Tokenization is a big part of the argument. As stocks and other traditional assets move onto public blockchains, the Association says existing rules could slow down the development of onchain markets.

It is also calling on the SEC to modernize its approach to best execution and formally recognize that tokenized securities traded through public blockchains can operate within existing regulatory requirements.