Stellar XLM Set to Be Highlighted at SEC Roundtable on Tokenization AllinCrypto May 5, 2025
- Stellar XLM likely to be discussed at the SEC’s upcoming tokenization roundtable.
- Franklin Templeton, a $1.6T asset manager, is partnered with Stellar for tokenized funds.
- Stellar’s built-in compliance and fast settlement make it ideal for regulated finance.
- A favorable mention at the SEC could drive adoption, demand, and long-term value for Stellar XLM.
The U.S. Securities and Exchange Commission (SEC) will host a historic event on May 12, 2025, titled: “Tokenization – Moving Assets Onchain: Where TradFi and DeFi Meet.”
One of the panelists is Sandy Kaul, Senior Vice President at Franklin Templeton, a global investment giant with over $1.6 trillion in assets under management.
Why is this important? Franklin Templeton has already utilized Stellar XLM to tokenize real-world assets, so we are nearly guaranteed that Stellar will come “up” in this discussion. This could be a moment of breakout recognition for Stellar in front of regulators, institutions, and investors.
Franklin Templeton’s Tokenized Fund on the Stellar Blockchain
In 2023, Franklin Templeton made headlines by launching the first U.S.-registered mutual fund to use a public blockchain for transaction processing and tracking ownership of shares. The fund is called the Franklin OnChain U.S. Government Money Fund, which leverages Stellar XLM.
As noted on Stellar.org, Franklin Templeton’s decision to utilize the Stellar blockchain was due to their unrivaled capabilities including:
- Fast settlements (3 to 5 seconds)
- Low transaction fees
- Built-in compliance features (e.g., KYC support, freeze and clawback functions)
- Interoperability with traditional banking systems
Stellar has features that make it not only a blockchain but a liquid, interoperable financial infrastructure for institutional use. And rallying around all of this is the SEC’s recent recognition of the importance of tokenization, which means it looks to be Stellar’s time in the sun.
adoption of blockchain.
Why Stellar XLM is Critical for Institutional Blockchain Adoption?
Stellar XLM is important for things beyond just speed or cost. The importance lies in what Stellar enables:
- Tokenization of real world assets (RWAs): Stocks, bonds, funds, currencies, etc.
- Cross-border payments: Already being utilized by MoneyGram and other global institutions.
- Decentralized compliance: Finding a balance between decentralized solutions and compliance requirements.
While tokenization will likely be the primary narrative in the future of financial innovation, Stellar XLM is perfectly placed as the bridge between traditional finance (tradfi) and decentralized finance (defi).
“Tokenization is a technological development that could radically alter many aspects of our financial markets.”
– Hester M. Peirce, SEC Commissioner
This quote in the news release from the SEC speaks for itself, especially with industry giants such as Sandy Kaul attending the event. Stellar XLM’s infrastructure will most likely be a centralize point of reference.
Franklin Templeton’s $1.6 Trillion Confidence
According to AInvest, Franklin Templeton isn’t experimenting with blockchain they’re going all in. By choosing Stellar for their tokenized fund, they are endorsing Stellar as secure, scalable and ready for institutional use.
This is a tipping point for Stellar XLM. As other chains battle with memecoins and hype, Stellar is becoming the default infrastructure for compliant, tokenized finance.
Who Is Sandy Kaul, Senior Vice President at Franklin Templeton?
Sandy Kaul is one of the foremost thinkers around the intersection of traditional finance (Tradfi) and emerging technologies, including blockchain, digital assets, and tokenization. As SVP at Franklin Templeton, Kaul focuses on what future investment strategies and innovations with respect to digital assets will look like as she leads the firm’s blockchain, including a high-profile connection with the Stellar blockchain for tokenized mutual funds.
Prior to Franklin Templeton, Kaul held senior roles at Citi and PwC focusing on the evolution of global financial services and market structure and the evolution of technology trends. Her depth of knowledge regarding how financial institutions can adopt blockchain in a regulated, scalable manner establishes her as one of the leading voices defining the landscape of digital assets.
Kaul’s participation at the SEC’s tokenization roundtable clearly indicates the seriousness with which Franklin Templeton and, by association, Stellar XLM are taking the institutional
What This Means for Stellar XLM Holders
If Stellar is mentioned in passing at the SEC roundtable and especially if favorably it could:
- Heighten institutional confidence
- Increase XLM’s utility and demand
- Draw mainstream media attention
- Provide regulatory clarity
This could be one of the most significant catalysts for Stellar XLM in presentation. Price predictions should always be approached cautiously, but the shift in narrative is clear: Stellar is no longer just a payment network; it’s a base layer for the next financial system.
Stellar XLM is Entering Its Most Critical Phase
With the SEC’s increased interest in tokenization, Franklin Templeton’s billion-dollar integration with Stellar, and the underlying technology of the Stellar network, Stellar XLM is moving away from a promising blockchain project to more of an institutional-grade financial backbone. Whether you’re an investor, developer, or just watching from the sidelines, everyone should be paying attention to May 12.
Because when Franklin Templeton discusses tokenization at the SEC, Stellar will be part of the discussion.
The post Stellar XLM Set to Be Highlighted at SEC Roundtable on Tokenization first appeared on AllinCrypto.
