Major Fund Gets SEC Approval for Tokenized Shares On-Chain, Says The Rollup's Andy on September 8

In a potentially landmark development for the intersection of traditional finance and blockchain technology, a major fund has reportedly received clearance from the U.S. Securities and Exchange Commission to tokenize fund shares on-chain and enable trading against underlying assets. According to Andy, host of The Rollup, who cited sources on September 8, the fund could be Fidelity, ARK Invest, or BlackRock—though he emphasized that the report remains unconfirmed and awaits official confirmation from SEC Chairman Paul Atkins. The development comes amid a broader push by U.S. regulators to establish frameworks for tokenized securities. In May 2026, NYSE Arca filed a proposed rule change to enable the trading of securities on the exchange in tokenized form, and the SEC has previously approved Nasdaq's tokenized securities proposal without requiring issuer consent as a condition. In March 2026, federal bank regulatory agencies issued a joint statement on the capital treatment for tokenized securities, underscoring the importance of treating securities in both traditional and tokenized forms in a like manner. Some reports suggest ARK Invest could be among the first asset managers to leverage SEC innovation exemptions to list tokenized securities, potentially starting with ARK's own funds. If confirmed, this SEC authorization would represent a significant milestone in the convergence of traditional finance and digital assets, potentially opening the door for broader institutional adoption of blockchain-based securities. Tokenization offers numerous potential benefits, including 24/7 trading, fractional ownership, reduced settlement times, and increased transparency. However, the news remains speculative until officially confirmed by the SEC, and the specific terms and conditions of any such authorization would be critical in determining its impact on the broader market. For the cryptocurrency and blockchain industry, this development signals that regulators are increasingly willing to accommodate innovation within established frameworks, potentially paving the way for a new era of tokenized financial products.