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Wu said that according to the draft recommendation submitted by the SEC's Investor Advisory Committee (IAC) Market Structure Subcommittee, regulators should not provide "comprehensive innovation exemptions" for stock tokenization, but should promote regulatory adjustments through limited exemptions or rule-by-rule reforms, while maintaining core investor protection principles, including requiring clear disclosure of investor rights, continuing to supervise intermediaries by the SEC and FINRA, and ensuring that transactions follow the principles of best execution; Relevant regulatory reforms should also be formulated through a public comment process.
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