CISO Global Seeks SEC Clearance to Let Shareholders Block Securities Lending

Shareholders of CISO Global may soon be able to explicitly block their shares from being used in securities lending. The company has filed a no-action request with the US Securities and Exchange Commission (SEC) seeking regulatory clarity for a proposed investor-consent share loan programme. Under the proposed framework, shareholders would affirmatively opt in before their shares are treated as available for lending. Consent could be withdrawn at any time, subject to applicable settlement and recall mechanics. The programme would operate through existing shareholder-intermediary relationships without altering the Depository Trust Company (DTC) or National Securities Clearing Corporation (NSCC) infrastructure. CISO Global is seeking confirmation that the SEC Staff would not recommend enforcement action under Rule 17Ad-20 for adopting this framework. The move follows a review of short-volume data, reported fails-to-deliver in late 2025, and shareholder-record discrepancies. Because securities lending can facilitate short selling, CISO Global believes beneficial owners should have a meaningful say before their shares are placed into lending channels.