The U.S. Securities and Exchange Commission is close to approving a regulatory exemption that would allow tokenized versions of stocks to be issued and traded on blockchain networks, according to sources familiar with the matter. The potential move, expected as early as July 2026, could open the door for major platforms including Coinbase to launch tokenized U.S. equities trading for American investors.
The exemption would create a controlled framework for security tokens representing shares in public companies, enabling 24/7 trading, fractional ownership, and faster settlement. It is seen as a significant step toward integrating traditional capital markets with blockchain technology while maintaining investor protections and compliance requirements.
Coinbase has been preparing for this development and is reportedly ready to launch tokenized stock products in the United States once the exemption is finalized. The company, which already offers crypto trading and international tokenized asset services, views the move as a major expansion opportunity. Insiders say Coinbase aims to provide seamless access to both digital assets and tokenized traditional securities within a single compliant platform.
The SEC’s deliberations come amid growing institutional demand for on-chain financial products and pressure from lawmakers to modernize rules. Tokenized assets could reduce costs, improve liquidity, and broaden access for retail investors. However, regulators are expected to impose strict conditions, including requirements for licensed issuers, real-time auditing, and safeguards against market manipulation.
Industry participants have welcomed the potential exemption as a breakthrough for real-world asset tokenization. If implemented, it could accelerate the sector’s growth, which analysts project could reach trillions in value over the coming decade. The development also aligns with broader efforts to clarify digital asset rules in the U.S., even as the CLARITY Act remains stalled in Congress.
Coinbase and other platforms are expected to roll out initial offerings cautiously, starting with major blue-chip stocks. The SEC has not yet made an official announcement, but momentum appears to be building toward a landmark regulatory shift.