Following this week’s failed Clarity Act vote in the Senate, the Securities and Exchange Commission and Commodity Futures Trading Commission issued rules to benefit crypto firms and software.
Details:
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The SEC’s “Innovation Exemption” exempts tokenized securities venues from the definition of “exchange” under the Exchange Act to facilitate on-chain trading of certain tokenized stocks.
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The CFTC issued a no-action position for the benefit of providers of passive software and will not take enforcement action against any such provider for failure to register as an introducing broker or associate.
Statement This Week: In a statement this week following the failure of the Clarity Act, SEC Chairman Paul Atkins said his agency would act on crypto issues without or without legislation.
Prior Actions: The SEC last month proposed rules that would create a framework for certain investment contracts involving crypto assets. The SEC and CFTC in March issued an interpretation of the definition of “security” as applied to certain types of crypto assets and transactions involving crypto assets.