Onchain Securities Platform Fairmint has urged Securities and Exchange Commission at the United States to take on a blockchain-driven regulatory framework to modernize private equity markets.
On June 16, Fairmint, which operates as a sec-registered transfer agent and infrastructure, developed for conforming onchain effects, an extensive seven-point policy proposal in the Crypto Task Force, in which it is pronounced how blockchain technology can be used to replace an outdated administrative systems in $ 6.
In compulsion To SEC chairman Paul Atkins and Commissioner Hester Peirce, Fairmint outlined operational challenges in private markets and proposed solutions that it claims can be implemented under the current regulatory authority.
Fairmint states that a large part of the sector still works on outdated infrastructure and is dependent on expensive, spreadsheet-based systems without native settlement options, limiting the efficiency and transparency of regulations. Public markets, on the other hand, benefit from regulated infrastructure.
The seven -part framework is expected to standardize the infrastructure between transfer agents, offer real -time perceptibility to regulators and investor rights and expand access.
Fairmint’s proposal starts with a push to unite the private market infrastructure through interoperability at the protocol level, and is aimed at eliminating the fragmented systems that currently tax transfer agents.
To improve the supervision of the regulations, it proposes to check transactions in real-time on blockchain-based observer nodes that would enable the SEC to maintain the privacy of users. Another important recommendation supports the self -coasts of investors, making the direct ownership of private effects with embedded compliance measures possible.
The proposal also challenges traditional standards for the qualification standards of investors by arguing for an acquaintance -based accreditation model, to replace outdated power thresholds with competence assessments.
In order to support new types of market activities, Fairmint outlines a non-guardianship dealer structure for smart contract-based mediation and encourages the establishment of a guided Defi-Sandbox for controlled experiments.
Finally, Fairmint recommends replacing traditional clearing systems with a direct settlement architecture that is driven by smart contracts to streamline the settlement and to reduce dependence on intermediaries.
By adopting the proposed framework, Fairmint argues that SEC could improve market integrity and reduce administrative burdens, while innovation becomes possible through safe, onchain processes.
With legal momentum building on digital assets, Fairmint is one of a growing number of companies that argue for policy reform. Under the Trump administration, the SEC has re -calibrated its regulatory strategy, characterized by the establishment of a dedicated Crypto Task Force to explore new policies and modernize supervisory frameworks.
Since the formation, the Crypto Task Force has actively searched for feedback from the industry and held a series of regulatory lap tables with various stakeholders, aimed at areas such as tokenization, decentralized financing and the application of existing securities laws on blockchain-based systems.
