The plan directs the agency to develop a robust regulatory framework to prevent market misconduct, as SEC officials’ public comments keep advancements in technology high on the agenda.
On August 25, 2022, the Securities...more
9/16/2022
/ CFTC ,
Digital Assets ,
Disclosure Requirements ,
Enforcement ,
Howey ,
Popular ,
Retail Investors ,
Reves Test ,
Securities and Exchange Commission (SEC) ,
Strategic Planning ,
Technology Sector
Securities issues are covered in Title III (Responsible Securities Innovation) of the Responsible Financial Innovation Act (RFIA). The RFIA would add a new Section 41 to the Securities Exchange Act of 1934 (Securities...more
On March 28, 2022, the US Securities and Exchange Commission (SEC) proposed rules (Proposing Release) that would require securities market participants that engage in dealer-like activities - such as a proprietary trading...more
Guidance clarifies assessment of liability under Rule 3110, including designation as supervisor, application of reasonableness standard, and factors for and against charging compliance officials.
On March 17, 2022, the...more
The amended definition could provide a new means for the SEC to regulate crypto platforms.
We previously published a blog post on the set of proposed amendments (Proposal) issued on January 26, 2022, by the Securities...more
The proposal would require certain systems and platforms currently not subject to any registration requirements to register as broker-dealers and ATSs.
On January 26, 2022, the Securities and Exchange Commission (SEC)...more
Popular and institutional interest in digital assets, decentralized applications, NFTs, and blockchain technology skyrocketed, and regulators sprinted to catch up.
For the digital asset markets, 2021 was a banner year....more
1/25/2022
/ Bitcoin ,
Blockchain ,
Capital Raising ,
Cryptoassets ,
Cryptocurrency ,
Decentralized Finance (DeFi) ,
Digital Assets ,
Enforcement ,
Entrepreneurs ,
Environmental Social & Governance (ESG) ,
Federal Reserve ,
Financial Regulatory Agencies ,
FinCEN ,
Non-Fungible Tokens (NFTs) ,
Regulatory Agenda ,
Securities and Exchange Commission (SEC) ,
Startups ,
Unicorns ,
Venture Capital
The Proposal would have a significant impact on current practices surrounding the use of Rule 10b5-1 plans by public companies and insiders.
On December 15, 2021, the Securities and Exchange Commission (SEC) issued a set...more
1/10/2022
/ 10b5-1 Plans ,
Affirmative Defenses ,
Comment Period ,
Corporate Governance ,
Disclosure Requirements ,
Insider Trading ,
Material Nonpublic Information ,
Proposed Amendments ,
Publicly-Traded Companies ,
Rulemaking Process ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Securities Regulation
As a major LIBOR transition milestone approaches, a Staff Statement provides key considerations for market participants regarding their obligations.
On December 7, 2021, the Staff of the Securities and Exchange...more
12/13/2021
/ Alternative Reference Rates Committee (ARRC) ,
Asset-Backed Securities ,
Broker-Dealer ,
Investment Adviser ,
Libor ,
Municipal Securities Issuers ,
Publicly-Traded Companies ,
Registered Investment Advisors ,
Regulation Best Interest ,
Regulatory Oversight ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act
The report addresses the market risks and regulatory challenges presented by stablecoins and urges Congress to act quickly.
On November 1, 2021, the President’s Working Group on Financial Markets (PWG) in conjunction...more
11/11/2021
/ Biden Administration ,
CFTC ,
Digital Assets ,
Digital Currency ,
FDIC ,
Financial Markets ,
Financial Services Industry ,
FSB ,
FSOC ,
Information Reports ,
IOSCO ,
OCC ,
Prudential Standards ,
Regulatory Agenda ,
Regulatory Oversight ,
Risk Factors ,
Securities and Exchange Commission (SEC) ,
Stablecoins
A new national strategy report aims to combat climate-related risks to the US financial system.
On October 14, 2021, the Biden Administration issued “A Roadmap to Build a Climate-Resilient Economy” (the Roadmap), a...more
10/21/2021
/ Biden Administration ,
Climate Change ,
Disclosure Requirements ,
Employee Retirement Income Security Act (ERISA) ,
Environmental Justice ,
Federal Acquisition Regulations (FAR) ,
Federal Budget ,
Financial Institutions ,
Financial Services Industry ,
FIO ,
Greenhouse Gas Emissions ,
Information Reports ,
Insurance Industry ,
OMB ,
Regulatory Agenda ,
Risk Alert ,
Risk Mitigation ,
Securities and Exchange Commission (SEC)
The Clarity for Digital Tokens Act of 2021 would give token issuers the guardrails they need to innovate with far less regulatory anxiety.
US Securities and Exchange Commission (SEC) Commissioner Hester Peirce has always...more
An ambitious proposal could bring digital assets into the mainstream regulatory fold. During an eventful summer for the digital assets industry, it may have been easy to miss US Representative Don Beyer’s introduction of the...more
9/13/2021
/ Anti-Money Laundering ,
Bank Secrecy Act ,
Central Bank Digital Currency (CBDCs) ,
CFTC ,
Commodities ,
Cryptoassets ,
Digital Assets ,
Enforcement Authority ,
FDIC ,
Federal Reserve ,
Proposed Legislation ,
Regulatory Oversight ,
Reporting Requirements ,
Securities ,
Securities and Exchange Commission (SEC) ,
Stablecoins ,
U.S. Treasury
Gary Gensler asserts the SEC’s broad powers over digital assets, and puts consumer protection at the forefront.
On August 3, 2021, Gary Gensler, chairman of the US Securities and Exchange Commission (SEC), gave a speech on...more
8/13/2021
/ Bitcoin ,
Blockchain ,
Broker-Dealer ,
Consumer Financial Products ,
Consumer Protection Laws ,
Cryptocurrency ,
Decentralized Finance (DeFi) ,
Digital Assets ,
Enforcement ,
Exchange-Traded Products ,
Initial Coin Offering (ICOs) ,
Popular ,
Regulatory Agenda ,
Securities and Exchange Commission (SEC) ,
Stablecoins ,
Token Sales
A sovereign nation’s decision to adopt Bitcoin as legal tender raises interesting questions — and legal ramifications.
On June 8, 2021, El Salvador’s Legislative Assembly voted to establish Bitcoin as unrestricted legal...more
6/25/2021
/ Article 9 ,
Banking Sector ,
Bitcoin ,
CFTC ,
Commodity Exchange Act (CEA) ,
Cryptocurrency ,
El Salvador ,
Exchange-Traded Products ,
Financial Action Task Force ,
Foreign Currency ,
IRS ,
Money Transfer ,
Multinationals ,
New Legislation ,
Securities and Exchange Commission (SEC) ,
Uniform Commercial Code (UCC)
SEC Commissioner Peirce has revived and refreshed her proposed three-year safe harbor for qualifying token projects, but some unresolved ambiguities remain.
US Securities and Exchange Commission (SEC) Commissioner Hester...more
Regulators once again offered piecemeal guidance, while focusing on risks and enforcement. Meanwhile, innovation and institutional adoption took off. Last year, Latham & Watkins sounded a hopeful note that 2020 would provide...more
1/22/2021
/ Biden Administration ,
Central Bank Digital Currency (CBDCs) ,
CFTC ,
Digital Assets ,
Enforcement Actions ,
Federal Reserve ,
FinCEN ,
No-Action Letters ,
OCC ,
Popular ,
Regulatory Requirements ,
Safe Harbors ,
Securities and Exchange Commission (SEC) ,
Securities Tokens ,
Token Sales
In a year-end change of course, the SEC identified the minimum steps that broker-dealers must take when acting as custodians of digital asset securities. On December 23, 2020, the US Securities and Exchange Commission (SEC)...more
1/13/2021
/ Asset Tokens ,
Blockchain ,
Broker-Dealer ,
Custody ,
Digital Assets ,
Distributed Ledger Technology (DLT) ,
Enforcement ,
Financial Industry Regulatory Authority (FINRA) ,
Market Participants ,
New Guidance ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
SIFMA ,
Virtual Currency
The no-action relief applies to family offices with at least US$50 million in total assets (Institutional Family Offices) and requires broker-dealers seeking to rely on the relief to establish and maintain specific additional...more
The no-action letter is the first to expressly permit token transfer off-platform to non-users and conversion to fiat currency by token holders.
As crypto prices surge, we find ourselves in the midst of another crypto wave....more
In setting forth its rationale, FINRA observed that private placement retail communications reviewed by AdReg have “revealed significant and pervasive” violations of FINRA Rule 2210.
On October 28, 2020, the Financial...more
11/12/2020
/ Broker-Dealer ,
Client Communication ,
Comment Period ,
Financial Industry Regulatory Authority (FINRA) ,
Investment Company Act of 1940 ,
Private Offerings ,
Private Placements ,
Proposed Amendments ,
Qualified Institutional Buyers ,
Regulation S ,
Retail Investors ,
Rule 144A ,
Rule 2210 ,
Securities and Exchange Commission (SEC)
US Department of Justice’s sprawling report reveals regulatory enforcement priorities for cryptocurrencies and highlights multi-agency cooperation.
On October 8, 2020, the US Attorney General’s Cyber-Digital Task Force of...more
10/20/2020
/ AML/CFT ,
Cryptoassets ,
Cryptocurrency ,
Department of Justice (DOJ) ,
Digital Assets ,
Enforcement ,
Financial Regulatory Agencies ,
Information Reports ,
Popular ,
Securities and Exchange Commission (SEC) ,
Strategic Enforcement Plan ,
Suspicious Activity Reports (SARs)
The proposal would significantly impact finders by granting tailored exemptive relief to individuals engaging in limited capital raising activity.
Key Points:
..The Proposal would provide a conditional exemption that...more
The changes will have implications for the growing secondary market for non-listed securities.
On September 16, 2020, the US Securities and Exchange Commission (SEC) adopted amendments to Rule 15c2-11 (the amended Rule) of...more
SEC relief streamlines noncustodial settlement of digital asset trades, but broker-dealer custody is still off-limits.
On September 25, 2020, the US Securities and Exchange Commission (SEC) issued a no-action letter (the...more