SEC Order Lifts UNI 30% as Tokenized Stock Rules Emerge
The SEC granted a five-year exemption for permissioned AMM pools, favoring Uniswap and Ondo over synthetic token models.
Key points
- Uniswap tokens rose over 30 percent after the SEC approved a five-year path for tokenized stocks.
- The exemption specifically favors permissioned AMM liquidity pools while excluding synthetic exposure products.
- Coinbase and Ondo possess relevant infrastructure but must adapt their models to meet the new regulatory criteria.
Uniswap tokens surged more than 30 percent following the SEC announcement. The agency issued an order on Sept. 17 that creates a regulatory lane for specific onchain stock trading models.
This move favors protocols using permissioned automated market maker liquidity pools. It excludes synthetic exposure products that do not offer direct shareholder rights to the underlying security.
Specific criteria define eligible tokenized shares
To qualify, a tokenized stock must grant holders identical dividends and voting rights. Issuers retain the right to reject any third-party tokenization before trading begins, ensuring strict control over their digital assets.
Commissioner Hester Peirce noted that this exemption covers one particular model. She stated the SEC remains open to other structures outside the current temporary standard venue framework.
Established firms face distinct competitive advantages
Coinbase claims its tokenized stocks meet the standard by being fully backed securities. However, its current offering targets non-US customers and relies on a central limit order book rather than the required AMM structure.
Ondo Finance launched tokenized US securities in June with traditional custody. The company acquired Oasis Pro to integrate a registered broker-dealer and transfer agent, aligning with the new regulatory expectations.
Uniswap infrastructure aligns with new rules
Uniswap introduced Permissioned Pools in July to allow regulated assets to trade through AMMs. This infrastructure enforces compliance directly onchain, allowing issuers to control who can trade or provide liquidity.
As reported by Cointelegraph, this setup matches the SEC’s requirement for permissioned access. The protocol supports Know Your Customer verification and transaction transparency, creating a suitable framework for US securities trading.
