Key Points
- •The SEC's Project Crypto seeks to integrate stocks with blockchain.
- •Project could reshape traditional asset trading.
- •Potential positive impact on DeFi and crypto adoption.
The U.S. SEC, led by Chairman Paul Atkins, advances Project Crypto to enable tokenized stocks to trade like cryptocurrencies on blockchain networks, as reported on September 30 by The Information.
This initiative could integrate traditional equities with DeFi applications, modernizing U.S. securities and potentially boosting market liquidity.
SEC Explores Blockchain for Stock Trading Modernization
The SEC is considering changes under "Project Crypto" to allow stocks to trade like cryptocurrencies. Paul Atkins, the SEC's Chairman, emphasizes modernizing securities rules to enable the U.S. financial market to move "on-chain." As he stated, "Project Crypto…to modernize the securities rules and regulations to enable America’s financial market to move ‘on-chain’” [1]. As of now, no specific timeline or detailed framework has been established for this initiative.
If implemented, trading stocks as tokens would significantly impact traditional and digital financial infrastructures. The move signals a focus on regulatory clarity and industry support through interpretive and exemptive relief rather than immediate capital investment. According to the SEC's Crypto Task Force, this project aims to "recommend practical policy to address unique risks presented by crypto while encouraging responsible innovation." This positions the U.S. to potentially set a standard for blockchain‑integrated equity markets globally.
The announcement garnered cautious optimism from market observers, with keen anticipation for regulatory details. Known figures like Ethereum's developers may react positively due to the blockchain's potential role in tokenized stock platforms, although no official comments from key industry leaders have been released yet.
Ethereum's Potential Role in Tokenized Equities Market
Did you know? In past instances where the SEC hinted at integrating crypto into traditional markets, the average market sentiment in DeFi projects tended to rise significantly, showcasing the potential positive reception of such regulatory developments.
According to CoinMarketCap, Ethereum (ETH) is trading at $4,111.32 with a market cap of $496.25 billion as of September 30, 2025. It holds a market dominance of 12.81%, with a 24‑hour trading volume of $36.85 billion, witnessing a 0.90% decrease in the last 24 hours. Over 90 days, ETH's value has surged nearly 59.81%.
Coincu research suggests that if tokenized stock markets gain traction, there may be a substantial boost in Ethereum‑based applications, given their role in DeFi. With the potential reshaping of financial markets through Project Crypto, regulatory frameworks will influence wider blockchain adoption and financial innovation. The ongoing developments in tokenization reflect a growing intersection between traditional and decentralized finance, highlighting a pivotal moment in financial evolution.