The latest draft of the Clarity Act, released before a Senate Banking Committee review, shifts its focus from preventing tokenization from weakening regulation to ensuring it does not restrict market access. The Securities and Exchange Commission is given more rulemaking flexibility, relying on existing laws rather than new rules. The draft also explicitly allows the SEC to adapt regulatory requirements for digital assets, and the SEC has already indicated that wallet providers and decentralized finance interfaces do not need to register as broker-dealers.

Major US banks are working urgently to patch IT system vulnerabilities identified by Anthropic's Mythos AI model, which has uncovered hundreds to thousands of low- to moderate-risk issues, sources said. The large banks are sharing their findings with smaller banks that lack direct access to Mythos, the sources said, adding that the heightened workload necessary for rapid fixes could lead to more frequent bank system outages.

JPMorgan Chase has been using blockchain technology in the repo market, processing hundreds of millions of dollars in transactions daily. Other financial institutions, including HSBC and Tradeweb Markets, are also exploring blockchain for repo transactions. This trend reflects a broader acceptance of blockchain as a tool for improving trading and reducing costs.

Trumid's Smart Voice platform processed $1 billion in average daily volume during April 2026, highlighting its growing role in electronic credit trading. The results buck a trend that saw Tradeweb and MarketAxess post declines of 14.5% and 24%, respectively. Trumid's performance was driven by growth in request-for-quote and portfolio trading protocols and the success of the Smart Voice platform.

JPMorgan Chase has filed for a second tokenized money market fund that would issue blockchain-based shares on Ethereum, allowing investors to hold or transfer fund interests digitally and use them as collateral in crypto markets. The move builds on growing Wall Street adoption of tokenized real-world assets, a market that has surged to about $32 billion as firms accelerate blockchain-based fund offerings tied to US regulatory frameworks.

US financial institutions are focusing on tokenized collateral and digital market infrastructure, with SEC Commissioner Hester Peirce highlighting the potential to improve market efficiency. Speaking on the International Swaps and Derivatives Association's "The Swap" podcast, Peirce emphasized the seamless movement of assets and cash on shared digital infrastructure. ISDA CEO Scott O'Malia cited a Nasdaq and Value Exchange survey indicating that more than half of institutions plan to manage tokenized collateral by the end of 2026, potentially unlocking $340 million in annual interest earnings.

Securities and Exchange Commission Chair Paul Atkins said that clear regulations are needed for on-chain trading systems and the use of artificial intelligence in finance, and has suggested a framework that includes notice-and-comment rulemaking to define "exchange" and address broker and dealer definitions. Atkins also highlighted the need to update the definition of "clearing agency" and to provide clarity on crypto vaults, emphasizing that firms remain responsible for the outcomes of AI tools.