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SEC Chair: Comprehensive Regulation of Encryption Assets, the U.S. Strives for Global Leadership
US SEC Chairman: Committed to Developing a Reasonable Regulatory Framework for the Encryption Asset Market
At a recent tokenization roundtable, the SEC Chairman delivered an important speech on the trend of migrating securities to blockchain systems. He pointed out that this shift could reshape every aspect of the securities market, bringing about entirely new ways of issuing, trading, holding, and using securities.
The chairman emphasized that in order for the United States to become a global leader in the encryption field, the SEC must keep pace with the times and consider adjusting existing rules to accommodate on-chain assets. He stated that the SEC will no longer rely on temporary enforcement actions, but will use its existing powers to establish practical standards for market participants.
In his speech, the chairman focused on outlining the policy directions in three key areas:
Issuance: The SEC will establish clear and reasonable guidelines for the issuance of encryption assets, consider adjusting existing registration forms, and explore new exemptions and safe harbor policies.
Custody: Supports providing registrants with more autonomy to decide how to custody encryption assets. The SEC will clarify the qualifications for qualified custodians and consider allowing advisors and funds to self-custody in certain circumstances.
Trading: Support allowing registrants to trade a wider variety of products on the platform. The SEC will explore designing a modernized ATS regulatory framework to better accommodate encryption assets and consider facilitating the listing and trading of encryption assets on national securities exchanges.
The Chairman stated that the SEC will be committed to developing a comprehensive encryption asset regulatory framework while considering conditional exemptions for innovative products and services. He hopes that through these efforts, the United States will become the most suitable country in the world to participate in the encryption asset market.