The US Securities and Exchange Commission unveils a new task force to begin work on cryptocurrency regulations
(Reuters) – The U.S. Securities and Exchange Commission’s new leadership said on Tuesday it has created a task force to develop a regulatory framework for crypto assets, in the first major step by President Donald Trump’s new administration to reform cryptocurrency policy.
Trump, who campaigned on promises to be a “crypto president,” vowed to undo the crackdown by former President Joe Biden’s Securities and Exchange Commission, which sued several cryptocurrency companies, including Coinbase and Kraken, for allegedly… She violated her rules.
The companies denied the allegations, arguing that the SEC’s rules are inappropriate for cryptocurrencies and that it is unclear when a cryptocurrency token can be considered a security and therefore subject to SEC oversight. The industry has been calling for the SEC to set clear rules for cryptocurrencies for years.
Tuesday’s move by Republican Commissioner Mark Ueda, whom Trump appointed acting SEC head on Monday, and fellow Republican Commissioner Hester Peirce, marks the cryptocurrency industry’s first political win under the new administration.
“The task force’s focus will be on helping the Commission draw clear regulatory lines, provide realistic pathways for registration, formulate reasonable disclosure frameworks, and deploy enforcement resources wisely,” Ueda’s office said in the announcement.
Reuters reported this month that Ueda and Pearce were preparing to begin reforming Trump’s cryptocurrency policy, including by starting the rulemaking process. Trump is also expected to soon issue executive orders that would reduce regulatory scrutiny of the cryptocurrency industry and help boost adoption of digital assets, Reuters and other media outlets reported.
“We are encouraged by this first meaningful step toward real policy solutions and ending regulation through the enforcement era of the past,” Jonathan Jakim, global head of policy at Kraken, said in an email statement to Reuters. “We look forward to accelerating our policy engagement…to achieve regulatory clarity.”
A Coinbase spokesperson did not immediately respond to a request for comment.
Bitcoin reached a new record high of $109,071 on Monday amid investor excitement over the new cryptocurrency-friendly administration.
The task force will also help lawmakers draft cryptocurrency-related legislation while coordinating with other federal agencies, such as the Commodity Futures Trading Commission, as well as state and foreign agencies, the SEC added.
(Reporting by Ismail Shakeel, Rami Ayoub and Douglas Jellison; Writing by Michelle Price; Additional reporting by Chris Prentice; Editing by Costas Pitas and Richard Chang)
