SEC recognizes blockchain as securities record in transfer agent rule

The SEC is proposing to modernize transfer agent rules to officially recognize blockchain as a record of securities transactions, and has opened a 60-day comment period on the plan. The proposal is the latest signal that the agency is preparing for round-the-clock U.S. equities trading and how transfer agents — which record and settle share ownership changes — would operate in that environment.

• The proposed rule recognizes blockchain-based ledger records as valid for tracking and settling securities ownership.
• It carries direct blockchain implications for how share ownership is recorded and transferred.
• The SEC is also planning a roundtable on 24-hour trading alongside the proposed transfer-agent framework.