Fidelity Seeks SEC Guidance on Crypto Asset Trading Framework

Fidelity, the third-largest asset manager in the United States, has formally requested the Securities and Exchange Commission (SEC) to establish a comprehensive framework for broker-dealers dealing with crypto assets. According to NS3.AI, Fidelity's letter to the SEC emphasizes the need for rules that allow alternative trading systems to manage tokenized securities from third-party issuers, rather than being limited to assets issued by the broker-dealer itself. Additionally, Fidelity seeks guidance on enabling broker-dealers to utilize distributed ledger technology for recordkeeping, as decentralized platforms face challenges in meeting disclosure requirements through a central authority.