The proposed rule changes potentially affecting SEC guidelines on broker-dealers, custody and reporting could allow crypto companies to operate in the US with less oversight.
US Securities and Exchange Commission (SEC) Chair Paul Atkins has released a regulatory agenda containing proposed rules that could significantly affect how the agency handles digital assets.
In a Thursday notice, the SEC released about 20 proposed rules as part of its spring 2025 agenda. Though each proposal varies in terms of the potential impact on the crypto industry, many suggested that the commission would continue to soften its enforcement approach, establishing safe harbors and restructuring existing regulations to benefit projects.
“The agenda covers potential rule proposals related to the offer and sale of crypto assets to help clarify the regulatory framework for crypto assets and provide greater certainty to the market,” said Atkins, adding: “[…] the agenda reflects our withdrawal of a host of items from the last Administration that do not align with the goal that regulation should be smart, effective, and appropriately tailored within the confines of our statutory authority.”
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What’s in the SEC’s agenda?
Among the proposed rules in the SEC agenda was including “certain exemptions and safe harbors” related to the offer and sale of crypto assets, and amending the Exchange Act “to account for the trading of crypto assets on [alternative trading systems] and national securities exchanges.”
The modifications could allow crypto companies to operate with less regulatory oversight and reduce the risk of legal action.
Other proposals suggested modifying “broker-dealer financial responsibility rules,” which could lessen the burden on crypto companies reporting data.
Broker-dealer rules have been a point of contention for many in the crypto industry by placing Know Your Customer and Anti-Money Laundering regulations on networks, often without the means to gather such data.
Notable, however, were the proposed rule changes suggesting “modernizing” the SEC’s framework to accommodate cryptocurrencies.
The commission proposed the Investment Advisers Act of 1940, which lays out regulations on custody, be “improved” to address crypto — less than eight months after a proposed rule change suggested bringing digital assets under stricter guidelines was quashed.
Though proposed as part of Atkins’ and the SEC’s agenda, the rules must go through an extensive process before adoption, including a public comment period and review.
Since the resignation of former SEC Chair Gary Gensler on Jan. 20, many of the commission’s decisions represented a complete about-face: dropping years-long investigations and lawsuits and issuing statements suggesting it would change its approach to enforcement. As SEC chair, Atkins has some authority to interpret commission rules and guidelines over crypto.
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