The SEC holds a meeting to discuss tokenization regulation, sparking another debate between traditional finance and the crypto community.

2025-12-05 00:14:20

[Chain News] On December 5, the US SEC’s Investor Advisory Committee held a meeting about asset tokenization. Executives from institutions like Citadel, a major exchange, and Galaxy were all present to discuss how to set rules for this area.

Citadel suggested that the SEC strictly clarify the role of intermediaries like decentralized trading protocols. This sparked a huge debate—many in the crypto community immediately objected, arguing that traditional rules simply don’t fit DeFi’s architecture. The major exchange’s stance was relatively moderate, suggesting that each rule should be reviewed individually to see where it’s not suitable, instead of forcefully imposing obligations that don’t apply.

SEC Chairman Atkins expressed that there needs to be a workable compliance path so that tokenization can truly develop. It seems that traditional finance and crypto-native groups still have very different views on how to regulate DeFi, and it will be hard to reach consensus in the short term.

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CafeMinor

· 3h ago

Here we go again. Citadel wants to play by the traditional finance rules and really treats DeFi like a centralized exchange? Wake up.

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BlockchainDecoder

· 4h ago

From a technical architecture perspective, Citadel's regulatory approach is essentially trying to force centralized logic onto permissionless protocols. The contradiction here is worth a deep analysis... --- To put it plainly, traditional finance still doesn't understand the essence of DeFi's decentralization, insisting on imposing intermediary responsibilities on things that fundamentally have no intermediaries. How could that possibly work? --- Atkins' statement sounds good, but the key is how to satisfy both sides—this is a classic regulatory paradox, and there's no solution in sight in the short term. --- The attitude of a certain leading exchange is so neutral that it's a bit suspicious. Are they really trying to push things forward or just playing Tai Chi? --- Research shows that excessive regulation will actually accelerate the migration of innovation to on-chain native protocols. The SEC needs to be cautious with this move. --- Wait, what exactly do they mean by "tokenization"? If it's just security tokenization, there might still be room for negotiation... --- It's right for the community to be up in arms, but the problem is that regulators will ultimately make rules according to their own logic. How many times has the crypto community's voice actually been heard?

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RugResistant

· 12-05 00:44

Citadel is trying to force the old traditional finance model onto DeFi again, hilarious... These guys really can't understand what decentralization is. --- Once again, everyone is just talking past each other. Atkins' statement sounds good, but in the end, it all depends on how it's actually implemented. --- Traditional finance trying to regulate DeFi is like using Web2 thinking to play blockchain games—it’s just not the same thing at all. --- The attitude of the top exchanges is the most practical. Discussing each issue one by one is much more reliable than Citadel's rigid categorization. --- Tokenization does need to be regulated, but don't kill innovation... Striking the right balance is really hard. --- Alright then, another round of tug-of-war. Anyway, in the short term, no one can say clearly what the compliance path will look like. --- The SEC will eventually come out with rules, but the key is how they do it—will they adapt to DeFi, or just crudely apply the old rules?

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OnChainDetective

· 12-05 00:43

Wait, why are the Citadel guys stepping in at this time? Looking at the on-chain fund flows, in early December, whales were continuously transferring funds to exchange custody addresses... this isn’t that simple.

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BlockchainGriller

· 12-05 00:28

Here we go again, Citadel still wants to use those traditional finance shackles on DeFi? Dream on. How could that even be possible? They're not even the same thing. The SEC finally came around, they have to give us a way out. Don't expect a unified stance anytime soon, the two sides will never see eye to eye. Traditional finance just wants control, what we want is freedom—there's the conflict. Atkins sounds nice, but putting things into practice will probably take another half a year of wrangling. Damn, it's these big institutions meddling again. No matter how the rules are set, it's not right—anyway, they're all just trying to fleece us. This meeting was basically pointless, the arguments will go on, and no one will convince anyone. DeFi simply shouldn't be regulated—otherwise, what's the point? Citadel is paving the way for themselves, everyone knows what's really going on. I just have a feeling the SEC will compromise in the end—there's no stopping the trend of tokenization anyway.

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gaslight_gasfeez

· 12-05 00:27

Arguing again—Citadel’s logic is really absurd, trying to forcefully apply CeFi practices to DeFi. Honestly, they’re overthinking it.

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