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
Crypto-asset trading is a fast-growing part of the financial sector. Some countries have wholeheartedly embraced crypto-assets; others have been reticent to permit widespread adoption. Generally, countries have interpreted...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
The US OCC allows banks, with certain restrictions, to hold assets in reserve for stablecoin issuers.
On September 21, 2020, the US Office of the Comptroller of the Currency (OCC) issued Interpretive Letter #1172 (the...more
The changes would allow more individuals and institutions to invest in private offerings of unregistered securities.
On August 26, 2020, the US Securities and Exchange Commission (SEC) expanded the definitions of...more
As COVID-19 continues to disrupt routine operations, OCIE reminds broker-dealers and investment advisers of their ongoing obligations.
On August 12, 2020, the US Securities and Exchange Commission (SEC) Office of...more
In anticipation of LIBOR discontinuation, key US and UK regulators signal a shift toward examining transition progress.
After an initial phase of applying mostly verbal pressure, UK and US regulators are now taking a more...more
The SEC proposes a welcome and significant increase in the 13F reporting threshold from US$100 million to US$3.5 billion.
On July 10, 2020, the US Securities and Exchange Commission (SEC) released a proposed rule amendment...more
The milestone fund structure portends a reduced role for broker-dealers, who may be sidelined by innovators unwilling to wait for regulators.
On July 6, 2020, asset management firm Arca announced that the US Securities and...more
The guidance highlights certain issues identified by FINRA regarding member firm communications to retail investors in private placement offerings.
On July 1, 2020, the Financial Industry Regulatory Authority (FINRA)...more
In anticipation of LIBOR discontinuation, the SEC will begin examining transition progress.
Nearly a year after the US Securities and Exchange Commission’s (SEC’s) release of a Staff Statement on LIBOR Transition, the...more
In the wake of COVID-19, the SEC and FINRA are taking steps to support markets and market participants.
The US Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority, Inc. (FINRA) continue...more
The report encourages the G20 to consider a broad set of supervisory principles when evaluating global stablecoin arrangements.
On April 14, 2020, the G20’s Financial Stability Board (FSB) published a consultation on the...more
SEC’s motion for a preliminary injunction is granted, prohibiting delivery of Telegram tokens to purchasers.
On March 24, the Court in the Southern District of New York sided with the SEC and granted an injunction...more
The amendments modernize, restructure, and streamline Rule 5110.
On March 20, 2020, the Financial Industry Regulatory Authority, Inc. (FINRA) published Regulatory Notice 20-10 (RN 20-10), which provides additional guidance...more
As COVID-19 disruptions unfold, FINRA has granted temporary relief regarding alternate working arrangements for broker-dealer employees.
On March 9, 2020, the Financial Industry Regulatory Authority, Inc. (FINRA) issued...more
SEC Commissioner Peirce has proposed a three-year safe harbor for qualifying token projects, but regulatory clarity remains elusive.
SEC Commissioner Hester Peirce has been a perennial advocate of innovation in the...more
Recent SEC guidance on digital assets cleared a path for at least certain stable coins or payment tokens to avoid securities regulation. However, Latham & Watkins attorneys say there are still a number of open questions that...more
1/28/2020
/ Cryptoassets ,
Cryptocurrency ,
Digital Assets ,
FinTech ,
Howey ,
Market Participants ,
New Guidance ,
No-Action Letters ,
Regulatory Standards ,
Securities ,
Securities and Exchange Commission (SEC) ,
Token Sales
The amendments expand certain exemptions and provide additional guidance under Rules 5130 and 5131 with respect to equity IPO allocations.
On December 19, 2019, the Financial Industry Regulatory Authority (FINRA) issued...more
1/22/2020
/ Amended Rules ,
Broker-Dealer ,
Charitable Organizations ,
Corporate Issuers ,
Exemptions ,
Financial Industry Regulatory Authority (FINRA) ,
Foreign Investment Entities (FIEs) ,
Guidance Update ,
Initial Public Offering (IPO) ,
Investment Adviser ,
Investment Advisers Act of 1940 ,
Retirement Plan ,
Securities and Exchange Commission (SEC) ,
Sovereign-Controlled Companies ,
Special Purpose Entities
It was a year filled with tantalizing tidbits and many loose ends.
2019 marked the 10th year since blockchain technology was released into the wild by its still unknown inventor, Satoshi Nakamoto, who mined the first bitcoin...more
1/9/2020
/ Bitcoin ,
Blockchain ,
Chain of Custody ,
Cryptocurrency ,
Digital Assets ,
Distributed Ledger Technology (DLT) ,
Enforcement ,
Enforcement Actions ,
Financial Industry Regulatory Authority (FINRA) ,
Financial Transactions ,
Initial Coin Offering (ICOs) ,
No-Action Letters ,
Popular ,
Regulatory Agenda ,
Regulatory Standards ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Securities Tokens ,
Token Sales ,
Unregistered Securities
The US agency has used a no-action letter to enable a sandbox-like approach to blockchain-based trade settlements.
In what may be the first regulator-approved application of blockchain technology for the settlement of US...more