SEC Grants Five-Year Exemption Allowing Tokenized US Stocks to Trade on Permissioned AMMs

The SEC on September 17, 2026 approved a temporary Innovation Exemption allowing qualifying Tokenized Securities Venues (TSVs) to trade tokenized National Market System stocks through permissioned automated market makers and liquidity pools, without those venues registering as exchanges under the Exchange Act, as reported by Bankless, Cointelegraph, CryptoPotato, Crypto News Flash, Decrypt, Bitcoin Magazine, CoinDesk, Crypto.News and Brave New Coin. The exemption runs for up to five years, requires tokenized shares to carry the same voting and dividend rights as the underlying stock, excludes synthetic products that merely track share prices, and grants liquidity providers conditional relief from dealer-registration requirements. SEC Chairman Paul Atkins tied the move to Congress's failure to advance the Clarity Act in a Senate procedural vote, which Bitcoin Magazine and Brave New Coin say fell 50-49, short of the 60 votes needed. Commissioner Mark Uyeda said TSVs must publish US dollar-denominated transaction data including prices, trade sizes, timestamps, pool addresses and daily volumes, and that symbol and volume limits will apply. Crypto.News reported RedStone's COO flagged that NYSE and Nasdaq's roughly 32.5-hour trading week leaves onchain markets without a live reference price for much of the week, since ordinary closures are not treated the same as trading halts.