🚨 SEC moves to scrap two Reg NMS rules that could open the door for tokenized stock trading via DeFi AMMs 🚨
The SEC has proposed rescinding two core Regulation NMS rules for listed stocks, including the trade-through rule and Rule 610(e). The change would loosen equity market structure and could remove one of the barriers to tokenized stock trading on DeFi automated market makers.
🔑 Key highlights:
🔹️ The SEC proposed on June 11, 2026 to rescind Rule 611 and Rule 610(e) under Regulation NMS.
🔹️ Rule 611 currently requires venues to avoid executing trades at prices worse than the best displayed quote elsewhere in the market.
🔹️ The SEC says the current framework has contributed to fragmentation, quote dispersion, and a latency race across too many similar exchanges.
🔹️ The proposal could reduce one of the obstacles to tokenized equity trading via DeFi AMMs.
🔹️ The Commission opened a 60-day comment period on the change.
🎯 Bottom Line: The SEC is trying to simplify U.S. stock market structure, and that could make tokenized equity trading easier to build.
https://www.ledgerinsights.com/sec-plans-to-scrap-two-nms-rules-that-hinder-tokenized-stock-trading-via-defi-amms/