Key takeaways
- The US SEC is establishing a crypto task force aimed at developing clearer regulations and guidelines for the crypto sector.
- The crypto task force will be led by SEC Commissioner Hester Peirce, who has criticized the agency’s approach to crypto regulation during her tenure.
- The SEC still has a number of open cases against Coinbase, Ripple and other crypto companies. However, these should be reviewed, according to recent reports.
The United States Securities and Exchange Commission (SEC) announced on Tuesday that it had established a Cryptocurrency Task Force to develop a regulatory framework for digital assets.
The new task force is intended to help the SEC move away from its previous reliance on enforcement actions that have been heavily criticized by crypto companies and market participants, according to an announcement from the acting SEC chairman , Mark Uyeda. Udeya was named to lead the agency after the resignation of former Chairman Gary Gensler.
The new direction will likely include an attempt to “draw clear regulatory lines, provide realistic pathways to registration, develop sensible disclosure frameworks, and deploy enforcement resources judiciously.”
Coordination with other federal agencies, including the Commodity Futures Trading Commission (CFTC), state regulators and their international counterparts, will also be a key priority of the task force, the SEC said.
The initiative will be led by SEC Commissioner Hester Peirce. Peirce, although she doesn’t entirely agree with it, has earned the nickname “Crypto Mom” from the industry for her support of crypto and her strong opposition to the crypto-first approach. agency enforcement under former Chairman Gensler.
Peirce, task force leader, supports greater crypto regulatory clarity
Additionally, the task force will collaborate with a broad range of stakeholders, including investors, academics and industry leaders, with the aim of fostering an environment that balances investor protection, market integrity and innovation, Peirce said in the announcement.
Since being appointed SEC commissioner by President Donald Trump in early 2018, Peirce has regularly espoused her belief that greater regulatory clarity is necessary for the crypto industry to thrive in the United States. Peirce has also published a number of dissenting opinions on various crypto-related SEC decisions.
The SEC still has a number of open cases against various crypto companies and projects, such as Coinbase (COIN) and Ripple; (XRPUSD), however, a report last week indicates that these cases will be reviewed under the new administration. Trump made a number of promises to the crypto industry, such as providing more regulatory clarity and establishing a Bitcoin strategic reserve, during his presidential campaign.
