PLUME Soars 25% After SEC Greenlights Its Role as Transfer Agent in Tokenized Securities

In a significant breakthrough for the blockchain and cryptocurrency landscape, Plume Network has announced its registration as a transfer agent with the U.S. Securities and Exchange Commission (SEC), triggering a notable 25% surge in the value of its native token, PLUME. According to CoinMarketCap, daily trading volume also jumped by a staggering 186%, showcasing robust investor enthusiasm following the announcement.

A New Era for Tokenized Securities

Plume Network, a modular Layer 2 blockchain specializing in real-world assets (RWAs), is now set to revolutionize the management of tokenized securities. With its new status as a registered transfer agent, the network will streamline the issuance, transfer, and management of digital securities directly on the blockchain. This move marks a significant step forward in aligning blockchain technology with traditional financial systems, offering seamless interoperability with the U.S. Depository Trust & Clearing Corporation (DTCC).

In practical terms, this means that Plume will now handle digital securities and shareholder records on-chain, facilitating a range of applications including on-chain IPOs, small-cap fundraising, and the management of registered funds. By leveraging smart-contract automation, Plume aims to reduce tokenization timelines from months to mere weeks, offering a faster, more efficient process for stakeholders.

Bridging DeFi and TradFi

Chris Yin, CEO and Co-Founder of Plume, emphasized the importance of this development in bridging the gap between decentralized finance (DeFi) and traditional finance (TradFi). “At Plume, we believe transfer agent regulation exists to protect investors’ rights as shareholders,” Yin stated. “With this fully on-chain transfer agent protocol, we are streamlining the issuance of digital securities with a built-in partnership with regulators.”

This sentiment echoes the broader industry search for a viable bridge between DeFi’s rapid innovation and TradFi’s regulatory safeguards. The issuance of the SEC license places Plume as a pivotal player in this evolving landscape, providing the much-needed regulatory infrastructure for institutions like BlackRock, Fidelity, and Apollo, which are keen to explore compliant on-chain asset transfers.

What a Blockchain Transfer Agent Means

Traditionally, a transfer agent is a financial institution responsible for maintaining official records of a company’s shareholders, managing ownership changes, issuing stock certificates, and handling dividend and interest payments. Plume’s blockchain-based transfer agent will perform these functions on-chain, leveraging distributed ledger technology to offer a secure, immutable, and transparent digital record of asset ownership and transfers.

This achievement follows Plume’s active collaboration with regulatory bodies, and the firm’s contributions to discussions surrounding the GENIUS Act highlight its commitment to compliance and innovation. The announcement comes on the heels of SEC Commissioner Hester Peirce’s remarks last week, expressing the regulator’s openness to engaging with issuers of real-world asset tokenization projects.

Looking Ahead: Product Rollout in Early 2026

Although Plume’s regulated transfer agent service is operational, allowing funds to engage with its infrastructure immediately, the company has its sights set on a broader product rollout in the first quarter of 2026. This will include the launch of its Nest protocol vaults, a critical component of the Plume Network that focuses on staking mechanisms for RWA protocols.

Nest will enable fund managers to create vaults backed by regulated financial instruments, allowing users to deposit stablecoins and earn yield in a permissionless manner from the underlying real-world assets. Plume has already attracted interest from SEC-registered investment funds, also known as 40 Act funds, which are eager to explore these new on-chain opportunities.

Challenges and Opportunities

Despite the promising outlook, Plume faces challenges typical of pioneering initiatives in the blockchain space. Regulatory issues, such as asset custody, remain hurdles to be overcome. However, the company is optimistic that these challenges will diminish as the SEC proposes new rules through 2026, with finalization expected by 2027.

The timing of Plume’s announcement aligns with a broader market shift towards on-chain securities, positioning the network at the forefront of this transition. The company believes its new license enables it to support the migration of off-chain securities into compliant digital forms, especially 40 Act funds, which are the traditional backbone of the U.S. asset management industry, representing over $39 trillion.

Future Plans and Market Impact

Looking to the future, Plume is also in pursuit of additional licenses, including Alternative Trading System (ATS) and broker-dealer registrations. These moves aim to develop a fully compliant on-chain capital market infrastructure for 40 Act funds, further solidifying Plume’s position as a leader in the space.

This development marks a pivotal moment not only for Plume but for the entire blockchain industry as it navigates the complexities of integrating with traditional financial systems. As more institutions look to embrace the efficiency and transparency of blockchain technology, Plume’s innovative approach offers a promising glimpse into the future of finance.

The recent uptick in PLUME’s market performance is a testament to the market’s confidence in this forward-thinking initiative, suggesting a bright horizon ahead for the network and its stakeholders. As Plume continues to break new ground, the industry eagerly anticipates the transformative impact of its efforts on the digitization of real-world assets.