The Securities Industry and Financial Markets Association (SIFMA) has cautioned the Securities and Exchange Commission (SEC) against relaxing regulations on tokenisation. In a letter addressing the SEC's Project Crypto, SIFMA warned that easing rules could undermine the strong framework of the US capital markets. The association stressed that existing securities laws should apply equally to tokenised and traditional assets, advocating for stringent criteria for exemptions to avoid fragmented markets with low liquidity and price inconsistencies.