Nasdaq Suggests SEC Consider Digital Assets as Securities Amid Evolving Regulatory Landscape
The post Nasdaq Suggests SEC Consider Digital Assets as Securities Amid Evolving Regulatory Landscape appeared on BitcoinEthereumNews.com. Nasdaq’s recent comment letter to the SEC highlights a pivotal moment in the evolving regulatory landscape for cryptocurrency, advocating for clearer classification. This move aligns with a growing consensus that more distinct regulations are needed for digital assets, separate from traditional securities. “Whether it takes the form of a paper share, a digital share, or a token, an instrument’s underlying nature remains the same,” Nasdaq emphasized in its letter. Nasdaq urges the SEC to classify certain digital assets as financial securities, advocating clearer regulatory standards for cryptocurrencies’ oversight. Proposed Classification Changes for Digital Assets In its letter to the SEC dated April 25, Nasdaq expressed concerns over the regulatory uncertainty surrounding digital assets. The exchange proposed that some cryptocurrencies should be classified as financial securities, maintaining that their underlying nature does not change with their format. Nasdaq argues that treating these digital instruments with the same regulatory framework as traditional securities is crucial for investor protection and market integrity. Clarifying the SEC’s Role in Crypto Regulation Nasdaq’s proposal also suggests a new category of “digital asset investment contracts,” which would be subject to a light touch regulation while remaining under SEC oversight. This initiative aims to create a balanced approach where innovative digital assets can thrive under a regulatory framework that adequately addresses their unique characteristics while ensuring compliance with applicable laws. Shifts in SEC’s Crypto Regulatory Approach Recently, the SEC has shown significant shifts in its approach to cryptocurrency regulation. Under the leadership of Gary Gensler, the agency initially deemed most cryptocurrencies as securities, which resulted in numerous enforcement actions against various crypto firms. However, a recent change in leadership has prompted a re-evaluation of this stance. As of April 2023, with Paul Atkins at the helm, the SEC’s focus appears to have narrowed, acknowledging that certain categories of…
The post Nasdaq Suggests SEC Consider Digital Assets as Securities Amid Evolving Regulatory Landscape appeared on BitcoinEthereumNews.com.
Nasdaq’s recent comment letter to the SEC highlights a pivotal moment in the evolving regulatory landscape for cryptocurrency, advocating for clearer classification. This move aligns with a growing consensus that more distinct regulations are needed for digital assets, separate from traditional securities. “Whether it takes the form of a paper share, a digital share, or a token, an instrument’s underlying nature remains the same,” Nasdaq emphasized in its letter. Nasdaq urges the SEC to classify certain digital assets as financial securities, advocating clearer regulatory standards for cryptocurrencies’ oversight. Proposed Classification Changes for Digital Assets In its letter to the SEC dated April 25, Nasdaq expressed concerns over the regulatory uncertainty surrounding digital assets. The exchange proposed that some cryptocurrencies should be classified as financial securities, maintaining that their underlying nature does not change with their format. Nasdaq argues that treating these digital instruments with the same regulatory framework as traditional securities is crucial for investor protection and market integrity. Clarifying the SEC’s Role in Crypto Regulation Nasdaq’s proposal also suggests a new category of “digital asset investment contracts,” which would be subject to a light touch regulation while remaining under SEC oversight. This initiative aims to create a balanced approach where innovative digital assets can thrive under a regulatory framework that adequately addresses their unique characteristics while ensuring compliance with applicable laws. Shifts in SEC’s Crypto Regulatory Approach Recently, the SEC has shown significant shifts in its approach to cryptocurrency regulation. Under the leadership of Gary Gensler, the agency initially deemed most cryptocurrencies as securities, which resulted in numerous enforcement actions against various crypto firms. However, a recent change in leadership has prompted a re-evaluation of this stance. As of April 2023, with Paul Atkins at the helm, the SEC’s focus appears to have narrowed, acknowledging that certain categories of…
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