The U.S. Securities and Exchange Commission (SEC) has published new guidance that is supposed to clarify how the federal securities laws are applied to cryptocurrencies.
The SEC has stated that businesses are supposed to provide appropriate disclosures with relevant information about the material aspects of their current or proposed business, the stage of development, revenue plans, and the place of crypto assets in them.
Businesses are, of course, also supposed to reveal specific details about their blockchain networks or crypto apps (governance, security, and ownership details as well as tech specs).
They are also required to specify what rights investors have and reveal various details. Information about the people in charge of a specific company and the level of their control is also supposed to be disclosed.
Uyeda’s legacy
Legal analyst Jake Chervinsky has noted that the SEC has issued more “helpful guidance” on crypto than all of the U.S. agencies combined over the past two months.
“This one’s particularly interesting: it’s explicitly about disclosures, but also signals the potential of a vibrant future for on-chain securities,” he said on X.
Under Acting Chairman Mark Uyeda, the SEC has quickly moved to gut cryptocurrency enforcement while also issuing new regulatory pronouncements. Former SEC official John Stark has described him as “the most activist SEC Chair.”
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“Uyeda is the most activist Acting SEC Chair in history and seems to be working 24/7 to squeeze in as much of his own agenda as possible before he turns back into a pumpkin,” he said.
Meanwhile, SEC Chair nominee Paul Atkins was confirmed by the Senate earlier this week.
