Tokenization stocks slip as SEC delay puts 'speed bump' in crypto’s Wall Street push
Stocks related to tokenization and crypto infrastructure fell following reports that the SEC is delaying an 'innovation exemption' for tokenized securities. The delay has created uncertainty for firms like Coinbase, Circle, and Securitize.
Why it matters
Regulatory delays in the tokenization space are slowing the integration of blockchain technology into traditional Wall Street financial products.
Bullish BLSH $ 24.45 fell about 8% in early trading, reversing gains following its second-quarter earnings report. The crypto platform, which owns CoinDesk, is acquiring transfer agent Equiniti as it builds infrastructure for issuing and servicing tokenized securities. Blockchain-based lender Figure (FIGR) also gave back its post-earnings advance, falling about 9% from Thursday's session high.
Crypto exchange Coinbase COIN $ 148.45 , which is pursuing its own tokenized-stock offering and recently picked Abu Dhabi as the offshore hub, declined 2%. Meanwhile, stablecoin issuer Circle CRCL $ 71.00 dropped nearly 4%. Beyond USDC, Circle operates the USYC tokenized Treasury product, which holds roughly $3 billion of assets.
Securitize (SECZ), BlackRock's tokenization partner and issuer of the BUIDL tokenized Treasury fund, was down 5% earlier in the session before it reversed losses, stabilizing after Thursday’s 27% plunge on missing earnings estimates.
Get smarter about the news
Sign up free for a feed built around what you actually care about, Dive Deeper research on any story, and the full text of every article.
Create free accountAlready have an account? Sign in