Hyperliquid Strategies spikes on report that the SEC will soon greenlight an “innovation exemption” for tokenized stocks
Shares of Hyperliquid Strategies are soaring in early trading after Bloomberg reported that the Securities and Exchange Commission is slated to release an “innovation exemption” that formalizes rules around the trading of tokenized stocks.
In what Bloomberg dubbed a “surprise move,” the SEC is slated to permit tokenized stocks (crypto wrappers for traditional shares) even if the public companies don’t consent to their creation.
Hyperliquid Strategies is a digital asset treasury company that holds HYPE tokens and provides liquidity on the DeFi exchange Hyperliquid.
Tokenized securities offer faster settlement and expanded trading hours, though without the same market depth that typically prevails with traditional exchanges and with a higher potential for price fragmentation.
Per the report, which cites people familiar with the matter, these platforms would need to provide their third-party holders with voting rights and dividends in order to list these tokens. As such, the platforms would effectively be required to hold the underlying securities they’d be offering tokenized access to.
