Galaxy Digital Urges SEC to Let Tokenized Securities Trade on AMMs
BeInCrypto
Galaxy Digital is lobbying the SEC to permit automated market makers to trade tokenized securities without registering as traditional exchanges.Summary
Galaxy Digital has submitted a letter to the SEC arguing that automated market makers (AMMs) should be exempt from traditional exchange registration requirements when trading tokenized securities. The firm contends that AMMs, characterized by transparent, deterministic settlement and non-discriminatory access, fall outside the scope of the Securities Exchange Act of 1934. This position challenges opposition from groups like SIFMA, which favors maintaining legacy infrastructure for such assets. Galaxy proposes a conditional exemption framework involving volume caps and disclosures, framing this as a pivotal decision for the future of decentralized finance and blockchain-based capital markets.
(Source：BeInCrypto)