In a strategic move, crypto exchange Kraken reportedly met with the SEC’s Crypto Task Force to shed light on the tokenization of traditional assets and tokenized trading systems in the US.
Kraken has a trading platform called xStocks, where users can trade tokenized shares of top U.S. stocks and exchange-traded funds (ETFs). However, the crypto firm’s tokenization services are not available in the US. To meet this need, Payward, the parent company of Kraken and the crypto exchange, had a discussion with the Crypto Task Force. In other words, the crypto firm wants to clarify on offering tokenized versions of traditional assets in the US.
What is Crypto Task Force?
Crypto Task Force is the SEC’s unit launched in January 2025 to develop a comprehensive regulatory framework for crypto assets. The crypto unit is assigned to perform various tasks, including defining clear regulatory lines to identify digital assets that are securities and non-securities.
Crypto Task Force’s meeting with Kraken is part of its series of roundtables across the US to “provide opportunities for additional stakeholders to offer feedback and to hear from representatives of crypto-related projects.”
Key aims of the meeting
The core agenda of the meeting with the Crypto Task Force was to
- discuss a proposal for a tokenized trading system, including the lifecycle of certain kinds of transactions,
- discuss the legal and regulatory framework,
- discuss the potential benefits of tokenization.
Tokenization goes global: Coinbase, Robinhood part of bigger picture
Kraken is not the crypto firm that offers tokenized products. Robinhood, Coinbase, BlackRock, and other heavyweights are diving into tokenized securities. Robinhood has already launched tokenized US stocks and ETFs for European customers while BlackRock unveiled its debut tokenized money market fund last — BUIDL — last year.
