Plume Revolutionizes Tokenized Securities with SEC Approval
In a groundbreaking development, Plume has become the first SEC-approved transmission agent, enabling compliant records, trade reporting, and fund management for tokenized assets within the US regulatory framework. This milestone marks a significant step towards bridging the gap between traditional finance and blockchain technology.
A Regulated Bridge between Wall Street and Web3
A transfer agent acts as an official record keeper for securities, responsible for maintaining shareholder records, processing ownership changes, and handling critical investor communications. Plume’s registration as a transfer agent means that these functions can now be performed with the immutable transparency and smart contract automation of blockchain technology.
The Plume network has developed an on-chain transfer agent designed to simplify processes that currently take months. By embedding trade reports and CAP table management in smart contracts, the system can reduce tokenization timeframes to weeks. This enables applications that were previously difficult to achieve in compliant environments, including IPOs for smaller companies, fundraising campaigns for small caps, and registered fund offerings.
Streamlining Tokenization and Fund Management
For asset managers, the Plume network offers native tools for fund administration, allowing them to create, manage, and track tokenized securities while meeting federal reporting requirements. The network has already demonstrated its operational capabilities, having onboarded over 200,000 owners of real assets and facilitated over $62 million in tokenized assets for the NEST credit protocol within a three-month period.
Plume’s regulatory milestone is part of a broader strategy to attract 40 Act funds, the regulatory backbone of the US asset management industry, which includes investment funds and ETFs with a market size of $39 trillion. The network has confirmed interest from such funds, indicating that conventional managers are actively seeking compliant on-ramps for blockchain efficiency.
Expanding Regulated Tokenization in the US
As the first SEC-enclosed on-chain transfer agent, Plume connects to the SEC and DTCC infrastructure, creating a seamless bridge between decentralized ledgers and the core of US financial regulation. This development accelerates Plume’s mission to bring the US securities market for trillion-dollar securities, with the company aiming to expand regulated tokenization in the US.
According to Plume, “This accelerates our mission to bring the US securities market for trillion-dollar securities. It is our first step in cooperation with the SEC to build fully compliant tokenized capital markets. Secure, compliant, and fast.” (Source: @plumetwork Twitter)
For more information on Plume’s SEC approval and its implications for the tokenized securities market, visit https://crypto.news/plume-builds-sec-approved-rails-for-tokenized-securities/
