- The SEC released its proposed “Regulation Crypto” framework last week, starting a 60-day window for public feedback.
- The U.S. Securities and Exchange Commission’s proposal details how the agency could oversee fundraising by cryptocurrency companies, particularly through token-based offerings.
What Regulation Crypto Means
- The framework lays out the SEC’s approach to allowing crypto businesses and developers to raise capital through tokens while attempting to remain within securities regulations.
Why It Matters
- The SEC has issued a steady stream of crypto-related staff guidance under the current administration but has done relatively little formal rulemaking. The new proposal represents a more concrete step, although final rules could still take time to complete, followed by a compliance period for affected companies.
- Lewis Cohen, a partner at Cahill Gordon & Reindel LLP, described the proposal as a major step in the right direction and praised the SEC for the work involved in producing it.
- Cohen nevertheless said the industry still needs the Clarity Act to establish a broader and more definitive regulatory framework.
- President Donald Trump also urged lawmakers to move forward with the Clarity Act during a press conference last Wednesday that brought together senior figures from the crypto and traditional financial sectors.
- SEC Chairman Paul Atkins and CFTC Chairman Mike Selig appeared at the event alongside Coinbase CEO Brian Armstrong, Kraken CEO Arjun Sethi and other executives. The gathering took place one day before the CFTC’s Innovation Advisory Committee meeting.
- During that meeting, Selig said the CFTC was ready to begin developing its own regulatory rules if Congress does not pass the Clarity Act.
This Week in Crypto Policy
- No major hearings or regulatory meetings are currently being tracked for this week.
