SEC discussed the Cryptocurrency issue with El Salvador! Here are the proposals related to Cryptocurrencies from the meeting!

On April 22, the U.S. Securities and Exchange Commission's (SEC) Crypto Task Force held a high-level meeting with representatives from the Perkin Law Firm, El Salvador's National Digital Assets Commission (CNAD), and former Goldman Sachs partner Heather Shemilt to discuss an innovative cross-border regulatory sandbox initiative aimed at facilitating oversight of cryptocurrencies.

The proposed sandbox includes two pilot scenarios that will serve as a live testing ground for real-world crypto holdings applications under dual regulatory oversight:

• Obtaining a digital asset license from CNAD for a small-scale real estate tokenization project licensed in the US and
• A small business that raises up to $10,000 through the issuance of tokenized stocks.

Collaboration aims to enhance regulatory flexibility and promote innovation while ensuring consumer protection. Over the last five years, El Salvador, which built its digital asset framework from scratch, has emerged as a global case study in balancing innovation with security. The CNAD model has attracted the attention of major crypto companies, including global exchanges and stablecoin issuer Tether (USDT), due to its advanced regulatory ecosystem.

One of the main focal points of the Sandbox is the tokenization of real estate, an asset class with significant potential for blockchain-based transformation. The success of El Salvador's pilot implementation of tokenized debt, fractional ownership, and lease agreements makes it an ideal partner for this initiative. The SEC aims to leverage these insights to inform the U.S. regulatory approaches and potentially scale tokenization in a safe and structured manner.