Crypto’s Big Win: How the SEC Just Rewrote the Rulebook
The U.S. Securities and Exchange Commission (SEC) has abruptly repealed several Biden-era crypto regulations, dismantling key propositions that industry leaders and lawmakers criticized as overreach. The Axed Rules: DeFi, Custody, and Exchange Redefinitions The SEC scrapped 14 proposed guidelines presented under former Chair Gary Gensler, including 2 with major implications for crypto: Guideline 3b-16: Would have broadened the definition of “exchange” to include DeFi procedures, needing platforms assisting in token trades to sign up as securities exchanges. Why Commissioners Called It Overreach SEC files expose bipartisan issues that the guidelines developed vague, impracticable requirements. Platforms like Uniswap and Curve no longer face imminent SEC action, but the lack of clear rules leaves a regulative vacuum. A New Age, however Uncharted Waters With the Biden-era guidelines gone, the SEC’s Crypto Job Force is now working on more targeted standards, focusing first on clarifying when a token is a security or a product.