New Clarity On SEC's Approach To Crypto Regulation

By Peter Altman, Jason Daniel, Nicholas Adams and Kelly Handschumacher (June 19, 2018, 1:37 PM EDT) -- On Thursday, June 14, William Hinman, director of the U.S. Securities and Exchange Commission's Division of Corporation Finance, provided some long-desired clarity on the SEC's approach to cryptocurrency regulation, announcing during Yahoo Finance's All Market Summit: Crypto that the SEC would not be classifying ether (ETH) or bitcoin (BTC) as securities. Hinman's remarks ended long-standing speculation over whether the SEC would assert jurisdiction over these distributed ledger coins, a move that would likely require a change in the definition of "security." His comments suggest that the U.S. Commodity Futures Trading Commission will continue to focus on fraud in the BTC and so-called "alt coin" markets, with the SEC concentrating on initial coin offerings and other digital rights offerings that behave like securities (whether backed by cryptocurrencies or otherwise)....

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