On 20 October 2026 the SEC’s Division of Trading and Markets published a page of frequently asked questions about the Innovation Exemption, and a list of names that had told the agency they intend to operate under it. The order itself is older. On 17 September the Commission issued Release 34-106402, a five-year exemptive order for venues that want to trade tokenized versions of listed US stocks. The SEC opened a five-year sandbox for tokenized stocks is that order. This page is the staff explaining the paperwork, and showing who has sent a notice.
The FAQ sheet says what it is, in the staff’s own words. It represents the views of the staff. It is not a rule, regulation, or statement of the Commission. The Commission has neither approved nor disapproved it. It has no legal force or effect, does not alter the law, and creates no new obligation. A helpful answer on a website is not a second order.
What happened
Three names were on the list when the page went up. TSV LLC, notice dated 23 September 2026. OKXICE TSV, 4 October 2026. Kephas Corporation, doing business as Perpetuals.com, 14 October 2026. The page says inclusion does not mean the person meets the definition of a tokenized-securities venue, and does not mean the person has shown that it meets the conditions. Staff do not pass on the merits or the accuracy of a notice. A withdrawn name comes off the list. That is a mailbox the agency is willing to show the public. It is not a licence.
The answers that matter are about timing, not about blessing a product. A venue must publish a plain-English notice on its own site at least 30 calendar days before it starts operating, and the staff’s view is that the notice should go up only once the operation is actually ready. After that, the venue has to amend the notice when the facts change. If the venue has warned a stock’s issuer and the issuer’s objection window is still open, the venue may name that stock as pending. It may not trade the stock until the window closes without an objection. If the issuer objects in time, the stock stays off. A tokenized stock is a claim on a share, not a coin. The issuer’s veto is the part of the order that keeps a lookalike from trading under the company’s name.
Do not mash a brand into the instrument. Perpetuals.com is a business name on a notice about listed shares. The September order is not a rulebook for crypto perpetual contracts. A perpetual is a contract with no expiry, not a bigger coin is that other product. OKXICE TSV on this list is a notice from a named filer. It is not a finding that OKX, or any affiliate, is operating a stock market. Reports in early October that a crypto exchange had approached the SEC were an approach. A line on a staff page is the approach written down. Neither one is the order working.
Why it matters
If you hold the ordinary share, this list does not move it. If someone offers you a token and points at sec.gov as the reason it is “approved”, the page they are pointing at says the opposite. Staff did not review the notice for accuracy. The rights you are owed are the rights in the share, and only if the token actually carries them. See how to read a crypto headline without getting played. A table with three rows looks like a roster. The caption above the table is the document.
The order still runs to 17 September 2031 unless the Commission changes it. Symbol caps, volume caps, a public auditable contract, and a halt when the listing exchange halts are conditions of the September order, not gifts in this FAQ. A venue that starts trading before its own 30-day notice has run is not using the exemption the staff just described. It is outside it.
What happens next
More names, amendments, and withdrawals. A venue’s own website, which is where the 30-day notice has to live, is the place to read what it claims to trade. Comments on the September order stay on their own file. Watch sec.gov for the list and for Release 34-106402. We will not treat a staff FAQ as a reason to buy a token with a ticker that looks like a stock.
Not legal advice. Not a recommendation of any share, tokenized share, venue, or crypto asset. Not a finding that any name on the list qualifies.
