SEC Poised to Unveil Tokenized Stock Exemption for 24/7 Trading

Tokenized equities use blockchain-based instruments to represent shares in listed companies, potentially allowing investors to transfer and trade exposure outside conventional exchange hours. A regulatory exemption could bring stocks such as Apple and Tesla onto blockchain rails, accelerating settlement and expanding market access, while raising questions about shareholder rights, custody, investor protection and oversight across fragmented trading venues.

The U.S. Securities and Exchange Commission could propose an innovation exemption as early as Friday, Aug. 14, 2026, according to the report. The framework would permit tokenized shares to trade on-chain 24 hours a day, seven days a week, with real-time settlement. Led by the SEC chair, the initiative is expected to be introduced alongside the agency’s Reg Crypto framework to establish a compliance route for blockchain-based securities.