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Tokenization stocks slip as SEC delay puts 'speed bump' in crypto’s Wall Street push

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Tokenization-related stocks slid Friday after another delay to a long-awaited U.S. regulatory initiative weighed on investor sentiment towards the industry's expansion into traditional securities.

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Shares of tokenization-focused firms including Bullish (BLSH), Figure (FIGR), Coinbase (COIN) and Circle (CRCL) slipped Friday as the SEC delayed its planned “innovation exemption” for tokenized securities and canceled meeting on proposed crypto offering rules. Uniswap’s UNI dropped 7% leading CoinDesk 20 index losses, as the exemption was expected to provide relief for trading securities on DeFi venues. The regulatory setback is a “speed bump” for tokenization and may lengthen adoption, but does not derail momentum behind tokenized assets and 24/7 trading infrastructure, Clear Street managing director Owen Lau said. Bullish BLSH $ 24.45 fell about 8% in early trading, reversing gains following its second-quarter earnings report.

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