SEC Flags AI 'Super Intelligence' and Tokenization as Systemic Market Risks

SEC Flags AI 'Super Intelligence' and Tokenization as Systemic Market Risks

Summary

The SEC’s Division of Examinations named AI and tokenization among its FY2027 priorities. Examiners will scrutinize how advanced technologies affect market operations, compliance, fraud prevention and investor protection, as well as risks from evolving market infrastructure, including tokenized products. Crypto was not restored as a standalone priority, after being omitted from the FY2026 list. The examination program covers more than 34,000 registrants, and the SEC says examiners may review any area involving compliance with securities laws.