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- The SEC's crypto U-turn 🔄
The SEC's crypto U-turn 🔄
Days after canceling its meeting on the framework, the SEC proposed rules letting crypto projects raise funds without full securities registration.
📝 What you need to know
The SEC on Tuesday proposed crypto fundraising rules dubbed "Regulation Crypto Assets," reversing course days after abruptly canceling a meeting on the same framework.
The rules would let projects raise capital through token sales without full securities registration, via a startup exemption capped at $5 million over four years and a second allowing up to $75 million annually for issuers providing financial statements. The proposal also floats a safe harbor letting a token "delink" from the investment contract it was sold under.
The timing is notable, since it follows stalled Clarity Act negotiations that dimmed hopes the market-structure bill passes this year. SEC Chair Paul Atkins had signaled, though, the SEC would act on its own if needed. Today’s reversal also comes amid reports that Wall Street group SIFMA weighed a legal challenge against the SEC, if it moved on its own, and the White House sought to postpone last week's meeting.
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