Tokenized stocks carry same rights but weaker trading protections
- —The September 17 order covers venues running permissioned AMM pools for eligible tokenized NMS stocks
- —Venues outside Reg NMS are not bound by Rule 611 protection against worse quotations
- —FINRA-member brokers keep best-execution duties under Rule 5310
- —Venues must publish free machine-readable dollar data for the prior 30 days, updated within 10 minutes
Why it matters: Investors must separate the rights a tokenized share conveys from how their order is priced and handled, since execution safeguards can be weaker than in traditional markets.
Source: CryptoSlate