SEC seeks to update its 1970s-era transfer agent rules for the blockchain age

The SEC is moving to overhaul transfer agent regulations that have remained largely static for decades, bringing rules into alignment with modern market infrastructure. The proposed updates would address how transfer agents handle recordkeeping, communications and securities transfers as blockchain and tokenized assets become more prevalent. The existing framework, rooted in the 1970s with minimal changes through the 1980s, was built for centralized systems and paper-based processes that no longer reflect current market mechanics.

The revision reflects a broader regulatory effort to accommodate distributed-ledger technology and increasingly automated settlement systems without requiring market participants to operate under outdated compliance structures. While the SEC hasn't detailed specific rule changes, the modernization targets the recordkeeping and operational standards that transfer agents must meet.

• SEC is updating transfer agent rules largely unchanged since the 1980s to address blockchain, tokenization and modern market infrastructure.
• The proposal would revise recordkeeping, communications and settlement requirements to align with electronic and distributed-ledger systems.
• The move signals regulatory intent to adapt oversight frameworks as tokenized securities and automated infrastructure evolve.