The U.S. regulator, the Securities and Exchange Commission (SEC), has reiterated that tokenized securities are still securities and fall under federal securities law. Securitize, one of the issuers of tokenized securities, welcomed the move, stating that it is crucial for ‘scaling’ the sector. This omission may be because issues related to tokenized securities are still under discussion within the CLARITY Act. It remains to be seen whether the final framework for tokenized securities will be a compromise between these two camps. The sector has gained strong traction, with tokenized securities holders edging close to 300K users, representing a 100% growth in January alone.