The U.S. Securities and Exchange Commission has formally proposed a long-awaited update to the rules governing registered transfer agents, with Commissioner Hester Peirce leading the announcement. The proposal modernizes decades-old record-keeping regulations and explicitly recognizes blockchain technology as an acceptable primary record-keeping system for securities.
The changes, which have been under development for more than ten years, would revise Form TA-1 and Form TA-2, require greater disclosure of financial information and conflicts of interest, and provide a more detailed list of issued securities. The SEC is seeking public comment and industry feedback before finalizing the framework.
By acknowledging decentralized ledger technologies as credible record-keeping tools, the regulator could open new avenues for tokenized assets, allowing market participants to leverage blockchain for greater efficiency, transparency, and compliance. This is a notable step toward aligning U.S. securities rules with today's electronic trading environment.
The immediate market reaction has been muted, with no dramatic price or volume moves reported, as traders await further details on implementation and potential implications for liquidity and tokenization practices.
