The SEC Wasting No Time Signaling A Shift In Priorities
Without a confirmed chairman in place, the Securities and Exchange Commission (SEC) has wasted no time signaling a shift from the previous administration’s priorities. Acting Chairman Mark Uyeda announced the creation of an agency-wide task force to study cryptocurrencies and establish a regulatory framework grounded in legal clarity.
On the first full day of the new administration, the SEC revealed its intent to explore a “sensible regulatory path that respects the bounds of the law.” This announcement underscores a sharp, yet anticipated, departure from the approach taken under Chairman Gary Gensler during the Biden administration. Gensler’s stance categorized most crypto offerings as securities, demanding registration and oversight by the SEC.
Historically, the SEC has relied on enforcement actions to regulate cryptocurrencies, often applying novel and untested legal interpretations. In the announcement, the commission acknowledged the resulting confusion and its detrimental effects on innovation while fostering fraud risks. “The SEC can do better,” the statement read.
“The crypto industry has long sought greater clarity to ensure compliance,” says Cynthia Kelly, senior compliance consultant at STP Investment Services. “However, with this clarity comes the possibility of increased regulatory scrutiny, making it a double-edged sword.” Kelly views the establishment of the task force as a positive step forward, emphasizing the need for balanced oversight.
Read the entire article and learn more about what Cynthia had to say here.
