SEC proposes temporary crypto rules to address challenges

Acting SEC Chair Mark Uyeda has called for a temporary regulatory framework to address immediate challenges in the U.S. crypto industry while permanent regulations are being developed.

Speaking at the SEC’s April 11 Crypto Task Force roundtable, Uyeda proposed a “time-limited, conditional exemptive relief framework” to encourage innovation within the blockchain space.

He suggested that such a framework could provide short-term solutions as the SEC works toward a “long-term solution.”

Uyeda highlighted the inefficiencies of state-by-state regulation, warning that it could lead to a “patchwork of state licensing regimes.”

He emphasised that a federal regulatory framework would ease the burden on market participants by allowing them to operate under a single SEC license instead of navigating multiple state licenses.

Uyeda urged crypto market participants to share feedback on areas where “exemptive relief” might be appropriate.

“Blockchain technology offers the potential to execute and clear securities transactions in ways that may be more efficient and reliable than current processes,” Uyeda said during the discussion.

He also noted that blockchains could enhance capital efficiency and liquidity by managing and mobilising collateral in tokenised form.

Uyeda will continue serving as acting SEC chair until Paul Atkins, President Donald Trump’s nominee, is officially sworn in.

On April 10, the U.S. Senate confirmed Atkins as the next SEC chair in a 52-44 vote.

Uyeda has been acting chair since January 20, following the departure of former chair Gary Gensler.