The U.S. Securities and Exchange Commission (SEC) recently held a private meeting with Kraken to discuss the potential for tokenizing traditional assets like stocks and bonds, aiming to revolutionize market operations. The talks focused on proposals for tokenized trading systems that could operate within a regulated framework, demonstrating both innovation and compliance efforts. Kraken’s proposals outline how these systems can integrate existing infrastructure to enhance speed, transparency, and cost-efficiency. 24/7 trading on blockchain networks becomes possible with this technology. However, the SEC is evaluating these concepts in relation to current regulations and exploring if new rules are needed for consumer protection and market integrity.