Global Regulators Warn SEC: Tokenized Stocks Could Risk Investors’ Cash

Summary: Why are global regulators concerned about tokenized stocks? Regulators warn that tokenized stocks can pose risks to investors because they don’t always provide the same rights as traditional shares, such as voting or dividends. They also caution that these products could harm market integrity if misrepresented as equivalent to real stocks. As a result, authorities are urging stricter oversight and clearer legal frameworks for these digital assets. Global market regulators, including the World Federation of Exchanges (WFE), the European Securities and Markets Authority (ESMA), and IOSCO’s Fintech Task Force, have urged the U source: https://news.shib.io/2025/08/26/global-regulators-warn-sec-tokenized-stocks-could-risk-investors-cash/