SEC Puts Tokenized-Stock Exemption on Hold; Gives Conditional Green Light to Nasdaq's QBTC Bitcoin Index Options

ME News reported that as of May 26 (UTC+8), information compiled from BBX shows the U.S. Securities and Exchange Commission (SEC) took two notable steps in the same week: it postponed an exemption framework for tokenized stocks, while conditionally approving Bitcoin index options. The moves point to a more surgical regulatory approach—supporting Bitcoin's institutional adoption while taking a cautious stance on risks tied to tokenized equities. Coinbase Global (NASDAQ: COIN) and Robinhood Markets (NASDAQ: HOOD) were among the companies most directly affected after the SEC, on May 22–23, indefinitely delayed an "innovation exemption" framework for tokenized stocks. The proposal had been designed to let crypto platforms such as Coinbase offer trading in tokenized U.S. equities during a pilot period without full broker-dealer registration, and it had become a key policy assumption behind both firms' "Everything Exchange" plans. Following the delay, BTC slid over the weekend from roughly $78,000 to about $74,344, marking a monthly low. The pullback sparked around $917 million in liquidations across the crypto futures market. Earlier, on May 19, optimism around the prospective tokenized-stock regime had lifted COIN and HOOD; the SEC's decision effectively reset those expectations. The SEC said some stakeholders warned that allowing third parties to tokenize shares without issuer authorization could complicate dividend distribution and shareholder voting. The agency said it needs more time to assess the framework's details. The exemption has been delayed—not canceled—and the SEC has not provided a timetable for when the process could resume. Separately, Nasdaq, Inc. (NASDAQ: NDAQ) received conditional SEC approval on May 25 to list cash-settled Bitcoin index options under the ticker QBTC. The European-style contracts track the CME CF Bitcoin Real-Time Index and settle entirely in U.S. dollars, with no physical delivery of Bitcoin. QBTC would be Nasdaq's second SEC-approved Bitcoin index derivatives product, following options linked to BlackRock's IBIT. The product is positioned to give institutional investors additional flexibility in managing Bitcoin exposure and to add an exchange-derived revenue stream for Nasdaq. Nasdaq's "conditional approval" still requires satisfaction of final SEC review requirements, and a listing date has not yet been set. (Source: BBX)