SEC and NYSE Discuss Crypto Rule Overhaul as Tokenized Markets Gain Momentum

The NYSE and SEC are actively discussing fast-tracked integration of tokenized assets, aiming to align crypto innovation with established market rules and regulatory clarity.

Behind the NYSE-SEC Crypto Talks: Tokenized Assets May Hit Trading Floors Fast

The U.S. Securities and Exchange Commission’s (SEC) Crypto Task Force met with representatives from the New York Stock Exchange (NYSE) on June 24 to evaluate how digital asset regulations could align with existing financial frameworks. A memo from the SEC Crypto Task Force noted:

The topic discussed was approaches to addressing issues related to regulation of crypto assets.

Discussions focused on mitigating regulatory fragmentation across traditional and crypto markets. NYSE representatives—including General Counsel Jaime Klima, Chief Product Officer Jon Herrick, Associate General Counsel Patrick Troy, and Chief Regulatory Officer Tony Frouge—advocated for “parity among market participants” and cautioned against “disparate regulatory regimes for similar assets and entities,” according to the meeting notes. The exchange outlined considerations for listing and trading tokenized equities—traditional securities issued on blockchain infrastructure—and presented preliminary ideas for generic listing standards for spot crypto exchange-traded products (ETPs).

Regulatory treatment of other crypto-based ETPs was also addressed, with the NYSE seeking clarity on how such products might be integrated into current listing frameworks. The conversation reflects a shared intent to reduce uncertainty and foster responsible innovation while preserving market integrity.

The SEC’s Crypto Task Force conducts both public roundtables and private meetings to shape policy. Roundtables welcome broad input on themes like tokenization, custody, and decentralized finance (DeFi), while one-on-one meetings—such as those with Blackrock, JPMorgan, or NYSE—offer targeted discussion of firm-specific compliance strategies. This dual format allows the SEC to balance broad-based feedback with detailed operational insights, supporting regulatory development in a complex and evolving digital asset environment.