On March 18, 2026, the U.S. Securities and Exchange Commission (SEC) officially approved a rule change by Nasdaq. This change is of extraordinary significance: it allows trading of tokenized stocks and securities in the U.S., and recognizes that such trading complies with federal securities laws and investor protection standards. Meanwhile, the SEC clearly stated that key links such as monitoring, data reporting and settlement schedules remain unchanged and unaffected. This decision, like a boulder dropped into a calm lake, stirred up ripples in the financial market, and was regarded by many market participants as a key turning point for the deep integration of traditional capital markets and blockchain finance, a landmark event. The Nasdaq rule adjustment grants eligible participants a new option — using designated order flags to settle in the form of tokenized stocks. This means that transactions will be settled through tokenized forms instead of the traditional bookkeeping system, opening up a new model for securities transaction settlement. According to the new framework, tokenized securities must be fully interchangeable with their traditional counterparts. They not only share the same stock ticker and CUSIP numbers, but also enjoy equal shareholder rights. For investors in tokenized stocks, their rights and interests remain unchanged, including standard protections such as voting rights, dividend distribution rights and residual asset claim rights, ensuring seamless alignment with current securities laws and safeguarding investor rights and interests. On Wednesday, the U.S. Securities and Exchange Commission (SEC) and the U.S. Commodity Futures Trading Commission (CFTC) jointly released guidance, clearly stating that "most crypto assets" do not fall under the category of securities. This series of approval measures undoubtedly sends a strong signal: in regulated financial markets, the tokenization trend is rising irresistibly. Exchanges and infrastructure providers are actively joining in, exploring blockchain-based representations of traditional assets, striving to innovate while always adhering to the bottom line of the existing regulatory framework. So, what exactly is "tokenized stock"? Simply put, it is like projecting the "digital avatar" of traditional stocks into the blockchain world, presented in the form of digital tokens. On blockchain platforms, these tokenized stocks can be freely traded, cleared and custodied. Compared with the traditional securities system, tokenized stocks have many significant advantages: Greatly improved trading efficiency: Achieving T+0 or even instant settlement, greatly shortening the trading cycle and making capital flow faster. Significantly reduced costs: Reducing the participation of intermediaries, lowering various fees in the transaction process and improving capital utilization efficiency. Enhanced global liquidity: Theoretically, tokenized stocks can be traded 24/7, breaking geographical and time restrictions, allowing global investors to participate, which greatly improves market liquidity. Programmable finance becomes a reality: Supporting automatic execution of smart contracts, making transactions more intelligent and automated, reducing human intervention and operational risks. This series of advantages means that the traditional financial system that relies on brokerages, clearing houses and custodian banks is facing unprecedented reshaping and transformation. For Chinese enterprises, this policy is not a distant technological change, but a potential structural opportunity window with huge development opportunities. In the past, Chinese enterprises mainly relied on two traditional channels for listing in the U.S.: IPO and American Depositary Receipts (ADR). However, with the emergence of tokenized equity, Chinese enterprises will have a new feasible path for listing in the U.S. in the future. This change provides small and medium-sized enterprises with more flexible financing methods, allowing them to access international capital with lower thresholds and costs, injecting new vitality into the international development of enterprises. In the traditional market, Chinese enterprises often face problems such as valuation discounts, insufficient liquidity and investor cognitive biases, which to a certain extent restrict the development and value realization of enterprises. In the on-chain market, the investor group is more global, the trading frequency is higher, and assets realize "fractional ownership", that is, investors can purchase partial equity, which helps attract more small and medium-sized investors to participate. These changes may bring about a restructuring of the valuation system, bringing Chinese enterprises more reasonable valuations and broader development space. It is worth noting that the U.S. Securities and Exchange Commission has not relaxed supervision due to the emergence of tokenized stocks, but has further emphasized requirements such as KYC (Know Your Customer), AML (Anti-Money Laundering) and information disclosure. For Chinese enterprises, this means "more advanced technology, but stricter supervision". This puts forward higher requirements for the corporate governance capabilities of enterprises, which need to strengthen internal management and improve compliance levels to adapt to the new regulatory environment. © 2021 Meishun (Hong Kong) Management Consulting Co., Ltd. and Meishun (Hangzhou) Management Consulting Co., Ltd. All rights reserved. Meishun Meiyin (Hangzhou) Consulting and Management Co., Ltd. is a domestic subsidiary of Hong Kong Meishun Management Consulting Co., Ltd. under the same actual controller. Both companies are under the same actual controller, and both companies are managed under the same China framework. The companies comply with the laws of Hong Kong and mainland China.