The Securities and Exchange Commission is forming a task force to establish clear regulations for the $3.7 trillion cryptocurrency market
US Securities and Exchange Commission (SEC) Announce The Cryptocurrency Task Force was created on January 21, 2025, one day after former Chairman Gary Gensler resigned. Acting Chairman Mark Ueda stated that the task force will establish a clear regulatory framework for digital assets. Commissioner Hester Peirce, known for her pro-crypto stance and nicknamed “Crypto Mom,” will lead the group, and Richard Gabbert and Taylor Asher will serve as chief of staff and chief policy advisor, respectively.
The SEC has outlined the goals of the task force, which include establishing workable paths to coin registration, developing reasonable disclosure frameworks, and effectively deploying enforcement resources. It plans to hold public hearings and consult with stakeholders, including investors, industry participants, academics and regulators. The group will work with federal agencies such as the Commodity Futures Trading Commission, now led by Acting Chairwoman Carolyn Pham, and other state and international regulatory bodies.
The task force was created amid expectations of a shift in the SEC’s approach to cryptocurrencies under the Trump administration. During his campaign, Donald Trump promised a more crypto-friendly environment, in contrast to the Biden administration, where Gensler’s tenure saw numerous executive actions against cryptocurrency companies. These included accusations of unregistered securities and resistance to the creation of cryptocurrency exchange-traded funds (ETFs). The SEC announcement acknowledged past confusion over regulatory rules and promised a clearer approach to promoting innovation while protecting investors.
Bitcoin’s price rose 2.4% to more than $106,000 after the announcement, reflecting optimism in the $3.7 trillion cryptocurrency industry. The task force’s focus on clarity was welcomed by stakeholders, who have long criticized the SEC for relying too heavily on enforcement rather than proactive regulation. The effort will require input from a wide range of voices to succeed, the agency said.
Under the Trump administration, cryptocurrencies are expected to play a more prominent role. Before his inauguration, Trump launched the meme coin, $TRUMP, and First Lady Melania Trump launched $MELANIA, both of which saw brief spikes before sharp declines. The new task force aligns with Trump’s broader vision to reduce regulatory barriers to the sector while addressing legal ambiguity.
The SEC’s move represents an important step toward addressing the regulatory challenges faced by the cryptocurrency industry. The working group aims to provide clear rules for digital assets, encourage compliance and reduce fraud while promoting innovation. Pierce stressed that cooperation and patience will be key to the group’s success, as the SEC works to balance investor protection with the need for a thriving cryptocurrency market.
