Fairmint Proposes Seven-Point Blockchain Policy Framework to SEC’s Crypto Task Force to Modernize $6 Trillion Private Securities Market

Fairmint Proposes Seven-Point Blockchain Policy Framework to SEC’s Crypto Task Force to Modernize $6 Trillion Private Securities Market

June 17, 2025Fairmint, a pioneering blockchain infrastructure firm, has submitted a comprehensive seven-point policy framework to the U.S. Securities and Exchange Commission’s (SEC) Crypto Task Force. The proposal outlines how blockchain-based solutions can streamline and modernize America’s $6 trillion private securities market.

Fairmint
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In its submission, Fairmint argues that the private capital markets—where most startups and growth companies raise funds—remain inefficient, opaque, and technologically outdated. The framework presents blockchain as a critical lever to improve transparency, investor access, and regulatory oversight.

Highlights of Fairmint’s Seven-Point Policy Framework

  1. On-Chain Compliance Mechanisms: Introduces programmable compliance tools embedded in smart contracts to automate investor eligibility checks and regulatory safeguards.

  2. Real-Time Cap Table Management: Encourages use of blockchain for maintaining dynamic, tamper-proof capitalization tables, replacing manual and error-prone spreadsheets.

  3. Secondary Liquidity Protocols: Proposes mechanisms for compliant peer-to-peer trading of private securities, addressing the long-standing liquidity challenge in private markets.

  4. Issuer Disclosure via Distributed Ledger: Recommends standardized, immutable reporting channels for companies to communicate with investors and regulators in real-time.

  5. Credentialed Digital Identity: Calls for a secure, interoperable identity layer to streamline KYC/AML processes across platforms.

  6. Tokenization of Ownership: Advocates for the digitization of equity and debt instruments using blockchain-native tokens, making them programmable and interoperable.

  7. Open Infrastructure Standards: Urges the SEC to support open protocols and technical standards that promote interoperability, reduce vendor lock-in, and foster innovation.

Bridging Innovation and Regulation

Fairmint’s CEO, [Name], said the goal is to “help the SEC craft policies that encourage responsible innovation while protecting investors.” He emphasized that blockchain doesn’t seek to bypass regulation—it enhances it with automation, auditability, and accessibility.

The submission comes at a critical time, as the SEC’s Crypto Task Force is evaluating how to integrate decentralized technologies within the existing financial regulatory framework. Fairmint’s framework represents one of the most concrete proposals to date from a blockchain-native firm focused on capital markets infrastructure.

Looking Ahead

If adopted, Fairmint’s framework could mark a transformative shift in how private securities are issued, traded, and regulated in the United States. By leveraging blockchain’s core strengths—transparency, automation, and efficiency—the proposal aims to unlock capital, reduce administrative burden, and democratize investment access for both issuers and investors.

Fairmint’s full policy paper is available for public review and feedback, and the company is actively engaging with regulators, industry stakeholders, and fellow innovators to shape the future of compliant digital capital formation.

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