In a letter to a senior executive at the Financial Industry Regulatory Authority (FINRA), Wall Street's self-regulatory body, the SEC's trading and markets division said exchanges that go to lengths to comply with existing regulation will not face sanctions. The SEC's clampdown on initial coin offerings (ICOs) means it is often characterized as the industry's boogeyman. But as the tokenized version of an already heavily regulated asset class, digital security offerings already largely comply with federal law. Thus, issuers have already used some of the exemptions allowing them to host a sale without first registering as a public company. As the crusade against unregulated ICOs fades, U.S. regulators, the SEC in particular, may well be preparing the ground for a host of compliant digital security offerings.