Former New York governor says tokenization is outpacing U.S. regulation

Tokenization is advancing faster than U.S. regulators can build rules, former New York Gov. Andrew Cuomo said in a CoinDesk opinion piece. Cuomo argued that regulatory clarity is not just a legal or political issue but an economic one, adding that the debate is no longer about whether blockchain technology can eventually enter traditional capital markets, but how existing markets will adopt the technology and what rules will govern that transition. Cuomo also said the U.S. SEC’s Innovation Exemption would allow innovation within defined safeguards, let regulators observe how the technology works, and use that experience to shape future rules. Still, innovation and regulation ultimately need to develop together, Cuomo added, as jurisdictions with credible and predictable regulatory frameworks are better positioned to attract investment, talent, and financial infrastructure, while prolonged uncertainty risks pushing standards and eventually the market itself to other regions.