Home » Cryptocurrency News » Cryptocurrency News » SEC Won’t Take Action Against Compliance-Focused Digital Security Exchanges SEC Won’t Take Action Against Compliance-Focused Digital Security Exchanges September 29, 2020
Sep 29, 2020 at 12:52 UTC Updated Sep 29, 2020 at 13:31 UTC
SEC building (Andriy Blokhin/Shutterstock)
The Securities and Exchange Commission (SEC) has said digital security exchanges that ensure assets on their books are legitimate in origin can continue to operate unhindered.In a letter to a senior executive at the Financial Industry Regulatory Authority (FINRA), Wall Street’s self-regulatory body, the SEC’s trading and markets division said exchanges that go to lengths to comply with existing regulation will not face sanctions.As well as conforming to federal securities law, the SEC, which has jurisdiction over FINRA, said such entities will need to introduce procedures that assess if listed digital securities have been sold legitimately throughout their lifetimes.This includes checking the initial offering was either properly registered or came under a valid exemption, as well as ensuring secondary market transactions are also compliant.The SEC’s clampdown on initial coin offerings (ICOs) means it is often characterized as the industry’s boogeyman.
But as the tokenized version of an already heavily regulated asset class, digital security offerings already largely comply with federal law.
Thus, issuers have already used some of the exemptions allowing them to host a sale without first registering as a public company.Indeed, in recent months, the SEC has made steps to better accommodate these sorts of offerings.
It published a proposal in March to increase the amount startups can raise under an SEC exemption.In the summer, an SEC-registered broker-dealer unveiled plans to launch the first security token platform that can also be used to host compliant offerings.FINRA itself has made tentative moves to move forward with the security token industry and just this month approved tZERO’s plans to launch a retail-focused broker-dealer.As the crusade against unregulated ICOs fades, U.S.
regulators, the SEC in particular, may well be preparing the ground for a host of compliant digital security offerings.
Read the letter in full here: Share this: Bitfinex Drops Minimum Balance to Trade on Crypto Exchange news Bitfinex has removed its $10,000 minimum equity requirement to start trading on the cryptocurrency exchange, enabling a broader range of investors to participate.The company, based in the British Virgin Islands, cited “overwhelming demand from a wide variety of traders” for the change.“We simply could not ignore the increasing level of requests for access… Market Wrap: Bitcoin Briefly Pops Above $9,400 as Global Stocks Rally Jul 21, 2020 at 20:28 UTCSource: CoinDesk 20 Bitcoin Price IndexMarket Wrap: Bitcoin Briefly Pops Above $9,400 as Global Stocks RallyBitcoin hit its highest price point in almost two weeks as stocks climbed.Bitcoin (BTC) trading around $9,371 as of 20:00 UTC (4 p.m.EDT).Gaining 2.2% over the previous 24 hours.Bitcoin’s 24-hour range: $9,149-$9,439BTC… Crypto Mining for Political Campaigns? A US Elections Agency Is Considering It The U.S.
Federal Election Commission (FEC) is considering a request that, if approved, would allow people to contribute to political campaigns by donating some of their processing power to mine cryptocurrencies.The request from OsiaNetwork LLC, quietly published in late September, is the first of its kind, and if given the thumbs-up would represent a… Saudi Monetary Authority Pumped Some of $13B Bank Infusion Using Blockchain Jun 9, 2020 at 09:00 UTCUpdated Jun 9, 2020 at 14:23 UTCRiyadh, Saudi Arabia (Credit: Shutterstock/Andrew V Marcus)The Saudi Arabian Monetary Authority (SAMA) has distributed cash to local banks over blockchain.
On Monday, the central bank announced it had deposited “part” of a recent banking sector liquidity pump through “blockchain technology” after injecting 50 billion… Short of Target: Bitcoin’s $1K Rally Leaves Bear Bias Intact markets View Bitcoin’s short-term outlook will remain bearish as long as prices remain below $11,080 resistance.A break above that level would invalidate bearish lower-highs setup.The bulls may have a tough time forcing a break above $11,080 amid news of BitMEX exchange facing a regulatory probe and talks of harsher crypto regulation.Prices could… First Mover: Why Bitcoin Traders Couldn’t Give a Sat About the Twitter Hack Jul 17, 2020 at 12:24 UTCFirst Mover: Why Bitcoin Traders Couldn’t Give a Sat About the Twitter HackCryptocurrency traders yawned at one of the year’s biggest news stories for bitcoin, with prices barely budging as the digital-asset industry became a primary victim of this week’s massive hack on Twitter accounts.
The notoriously volatile bitcoin slid… $6K Ahead? Bitcoin Price Plunges After Brief Recovery For bitcoin, the path of least resistance is to the downside.At press time, the leading cryptocurrency is trading at $6,340 on Bifinex – down 3 percent from the high of $6,550 hit earlier today.The minor recovery from the previous day’s low of $6,300 was likely a product of oversold conditions reported by the… Deribit to Launch Daily BTC Options as Regulated Competition Heats Up Jan 31, 2020 at 10:30 UTCUpdated Jan 31, 2020 at 10:33 UTCDeribit is launching daily options as the exchange faces increasing competition in the crypto options market.Deribit announced this week it would begin offering daily bitcoin index options Feb.
3.Scheduled every day at 08:00 UTC, users will be able to begin trading options… Facebook’s Libra Cryptocurrency: A Technical Deep Dive news Facebook announced Tuesday that its highly anticipated cryptocurrency, Libra, will run on a blockchain network secured at launch by 100 distributed computer servers, or nodes.Twenty-eight node-running members are currently on board.The Libra blockchain will go live in 2020, with the Libra Association – a Switzerland-based non-profit – tasked with leading the cryptocurrency’s… Leave a Reply You must be logged in to post a comment.
Search.
