The chairman of the United States Securities Exchange Commission, Jay Clayton, believes in blockchain technology’s power and thinks that all stocks could become tokenized one day. In a webinar hosted by the Chamber of Digital Commerce last week, Clayton said all stock trading is today electronic, compared to 20 years ago. In the past, there were stock certificates, and today there are digital entries representing stocks. “It may be very well the case that those all become tokenized,” said Clayton.
Regulators welcome innovation in the crypto space within regulatory frameworks.
The webinar titled Two Sides of the American Coin: Innovation & Regulation of Digital Assets focused on what is needed to grow the blockchain and crypto space. The acting comptroller of the currency at the Office of the Comptroller of the Currency (OCC), Brian Brooks, also participated in the webinar. Both Jay Clayton and Brian Brooks said that they welcome innovation in the crypto space, but of course, within regulatory frameworks. The panelists further debated whether currency frameworks are sufficient enough or not.
Brian Brooks believes that blockchain networks are fundamentally more resilient.
Brooks, who recently joined the OCC from Coinbase, said he believes that blockchain networks are “fundamentally more resilient and efficient than vertically integrated sort of control towers,” and that is why there is a need for a framework that is “safe and sound.” “We have a strong interest in trying to envision a medium-term future, not a tomorrow future where people are speculating on bitcoin price movements, but a medium-term future where these blockchain networks that have been built are basically the internet of finance is a mind-blowing challenge to the banking model,” said Brooks. However, “most cryptocurrency projects are going to fail,” according to the comptroller of OCC.