SEC Initiates Reset of Relationship with Crypto Industry
The U.S. Securities and Exchange Commission (SEC) is seeking to recalibrate its interaction with the crypto sector ahead of appointing a permanent chair. A roundtable at SEC headquarters included legal experts from various crypto perspectives.
Key Developments
- The SEC's reset began with the launch of a crypto task force by Acting Chair Mark Uyeda, withdrawal of Staff Accounting Bulletin 121, and the suspension of several lawsuits.
- The SEC holds significant influence over crypto regulation, currently providing guidance that many companies rely on.
- The roundtable featured a 90-minute panel discussion and a town hall addressing key issues such as the classification of crypto as securities.
- Panelists discussed the implications of the Howey Test for investor protection and the impact of securities laws on crypto projects.
- Concerns were raised about how regulatory frameworks affect project operations, often leading projects to behave like public offerings rather than embracing their crypto nature.
- Attendees included former SEC attorney John Reed Stark, who emphasized the necessity of considering the economic realities of crypto transactions.
- The SEC’s proactive engagement drew substantial attendance, signaling industry interest in regulatory developments.
Additional News Highlights
- The SEC has stated that pooled and solo proof-of-work mining does not fall under its jurisdiction.
- Ripple CEO announced the SEC will drop its case against Ripple regarding XRP sales.
- Coinbase is in talks to acquire the derivatives platform Deribit.
- Bithumb exchange is under investigation for embezzlement by South Korean prosecutors.
- The U.S. government lifted sanctions against Tornado Cash following a court ruling.