Senate Crypto Bill Confirms Tokenized Stocks Will Remain Securities

Washington, D.C. — Sept. 6, 2025 — The U.S. Senate has added a new clause to its crypto market structure bill, clarifying that tokenized stocks and other securities will remain classified as securities under federal law.

The update to the Responsible Financial Innovation Act of 2025 ensures that tokenized equities continue to fall under the Securities and Exchange Commission’s (SEC) oversight, avoiding confusion over whether they should instead be regulated as commodities.

Why It Matters

Digital asset firms working on tokenization have raised concerns about regulatory ambiguity. By explicitly keeping tokenized stocks within existing securities rules, the Senate aims to preserve compatibility with broker-dealer frameworks, clearing systems, and trading platforms.

Related: Rep. Bryan Steil Urges Congress to Keep Crypto Bills Focused and Free of Political Distractions

“We want this on the president’s desk before the end of the year,” said Senator Cynthia Lummis (R-WY), one of the bill’s lead sponsors, in an interview with CNBC.

Oversight Split Between SEC and CFTC

The bill outlines a split regulatory model:

• SEC: Oversight of securities and tokenized equities.

• CFTC: Oversight of digital commodities and certain crypto assets.

The Senate Banking Committee is expected to vote this month on SEC-related provisions, while the Agriculture Committee will review the CFTC sections in October. A full Senate vote could come as soon as November 2025.

Industry Push for Developer Protections

In August, a coalition of 112 crypto companies, investors, and advocacy groups — including Coinbase, Kraken, Ripple, a16z, and Uniswap Labs — urged lawmakers to protect software developers and non-custodial service providers in the legislation.

The letter, sent to both the Banking and Agriculture Committees, warned that outdated rules could misclassify developers as intermediaries, further accelerating the decline in U.S.-based blockchain talent. According to Electric Capital, the U.S. share of open-source blockchain developers fell from 25% in 2021 to 18% in 2025.

Related: Ethereum Developers Propose 4x Gas Limit Increase for Fusaka Hard Fork

What’s Next

While the bill has yet to secure full Democratic support, bipartisan negotiations are ongoing, with lawmakers aiming to finalize the framework before year’s end.

FAQs

1. What does the Senate crypto bill say about tokenized stocks?

The bill confirms that tokenized stocks remain classified as securities under SEC oversight, avoiding regulatory ambiguity.

2. How does the bill split oversight between regulators?

The SEC will regulate securities and tokenized equities, while the CFTC will oversee digital commodities and certain crypto assets.

3. Why is this clarification important for the crypto industry?

It ensures tokenized assets remain compatible with broker-dealer frameworks, clearing systems, and trading platforms.

4. What concerns have crypto firms raised about the bill?

Industry leaders want protections for developers and non-custodial service providers to prevent misclassification under outdated rules.

5. When could the bill become law?

Senators aim to finalize the bill by the end of 2025, with votes expected in the coming months.