SEC proposes updated rules for transfer agents considering blockchain technology

The U.S. Securities and Exchange Commission (SEC) has published a draft proposal to update regulations for registered transfer agents. The document emphasizes the importance of digital technologies, blockchain, and electronic communication in maintaining shareholder registries. This move is a step toward legitimizing the tokenization and transfer of securities, as onchain transfers will need to be reflected in legally recognized registries. The proposal is currently open for public comment, with a final decision expected later. These new rules aim to improve the security and transparency of digital securities.