According to CoinMeta, and as reported by Bloomberg, the U.S. Securities and Exchange Commission (SEC) proposed on September 1st the first major update to the transfer agent rules since the 1970s. SEC Chair Gary Gensler suggested that the rules should encompass the application of blockchain technology in securities issuance and equity transfers. Co-founder Brad Garlinghouse pointed out that tokens should be considered official ledgers as required by Section 17a of the Securities Exchange Act, and recommended distinguishing between native-chain registrations and third-party encapsulation models in Rule 17a-2, allowing the use of cryptographic credentials, as well as incorporating smart contract pre-trade restrictions into the compliance enforcement mechanism.