BlackRock CEO: Please SEC promote stock and bond tokenization as soon as possible, and please do not interfere with corporate operations from both left and right wings.

In recent times, global discussions on environmental protection, social responsibility, and corporate governance (ESG) have sparked controversy, leaving many companies in a difficult position. Larry Fink, CEO of BlackRock, emphasized the importance of sticking to core values and doing what is beneficial for clients during an interview on 1/23. He further called on the U.S. Securities and Exchange Commission (SEC) to promote the tokenization of stocks and bonds using blockchain technology to enhance transaction efficiency.

ESG controversies put enormous pressure on companies

Fink mentioned that now both the far left and the far right are using (Proxy votes) to pressure companies and make a lot of demands. He gave an example of a company that received 14 proxy proposals this year, with half from the left and half from the right, but the requirements of both sides are fundamentally contradictory. 'If these proposals can offset each other, then we don't have to deal with anything,' Fink half-jokingly said.

He believes that the current proxy voting mechanism is too complicated, resulting in many companies spending a lot of unnecessary time and money on unnecessary administrative and legal procedures. He called on the SEC to review these regulations, reduce trouble, and allow companies to focus on what they do.

Please SEC accelerate the tokenization of stocks and bonds

Fink said that tokenizing stocks and bonds can make the existing financial system operate more efficiently. He emphasized that there are many benefits to doing so:

Simplify the voting process: record shareholders' ownership rights with tokens, so that everyone can directly exercise voting rights without intermediaries, saving time and money.

Reducing transaction costs: Tokenization can reduce the complex transaction fees in traditional transactions, lower entry barriers, and allow investors to easily enter the market.

Increase market transparency: Through blockchain, all transaction records can be tracked clearly, making the financial market more open and trustworthy.

He also strongly urged the U.S. Securities and Exchange Commission (SEC) to promote stock and bond tokenization as soon as possible.

Promote cross-border cooperation to achieve reform goals

Fink mentioned that stock and bond tokenization cannot be completed by a single company alone, and requires joint efforts from the technology industry, government, and financial institutions. He also believes that tokenization is not only applicable to the financial market, but can also be used in areas such as voting systems or identity authentication. He hopes that this technology can be implemented in more places to promote global economic development.

This article BlackRock CEO: Please SEC promote stock and bond tokenization as soon as possible, please do not interfere with the operation of the enterprise from left and right. It first appeared on Chain News ABMedia.