crypto

SEC Launches Crypto Regulatory Task Force

By Carl Vogel

With the new Donald Trump-headed government, SEC’s new acting chairman Mark T Uyeda launches a new crypto task force to develop a crypto regulatory framework in the US. The task force will collaborate with the SEC and the public to create a regulatory path abiding by the law.

In this article, we’ll get you to know every information related to the new regulatory task force and what it has in store for the crypto community.

SEC Brings Regulations to the Crypto: Introducing a New Regulatory Task Force

The Security and Exchange Commission of the US has undergone many changes with the new Trump government, the major being the appointment of a new acting chairman. Under the new chairman, the commission has launched a regulatory task force headed by Commissioner Hester Pierce. Richard Gabbert and Taylor Asher will assist Hester by serving as the chief of staff and chief of advisor respectively. 

To date, the SEC mainly relied on enforcement actions to regulate the crypto industry, bringing novel and untested interpretations rather than a verified pattern for regulation. There was no clarity on who must register or solutions for registering, making it difficult to differentiate between what is legal and what is illegal. 

With the launch of the crypto regulatory task force, the SEC aims to bring more clarity to legal frameworks. The task force will navigate a clear path to registration, create transparent disclosure frameworks, and implement enforcement resources. The task force will function within the boundary of law and incorporate technical assistance as it is responsible for making changes to the framework. 

The new crypto regulatory task force marks the first major initiative for the crypto industry under the new government. Though it is difficult to predict how this policy will impact the crypto ecosystem, many crypto companies are welcoming this news with open arms. They believe a regulatory framework will attract more investors who are now reluctant to enter the platform because of security and legal concerns. 

Many believe that Trump’s next step would be to issue executive orders that would lighten the regulatory scrutiny of the crypto market. This will increase the adoption of cryptocurrencies and make them a medium for daily transactions. Trump’s new meme coin, $TRUMP has soared since his first day in office. At the time of writing the coin is trading at $36.97, with a market cap of $7.41 billion and a 24-hour trading volume of $8.79 billion. 

FDIC to Fuel the Trend

It is not only the SEC, the Federal Deposit Insurance Corporation also planning to bring necessary legal enforcement to protect customers. With the new Trump government, FDIC aims to bring a transparent approach to fintech partnerships, digital assets, and tokenization. 

The acting chairman of the FDIC plans to solve the existing challenges of the FDIC to bring a safe and secure banking system. The new strategies include a wholesale review of regulations and guidelines to promote a vibrant economy, enhance the bank merger approval process, withdraw problematic proposals, enrich the supervisory process, reevaluate disclosure parties, encourage de novo activity, and pursue internal efficiencies.

Also Read: Trump Selects Pro-Crypto Mark Uyeda As Acting SEC Chair

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