A proposed framework for cryptocurrency regulation in the United States was released on Monday. Its provisions may become principles for future interaction between the SEC and the ICO market.
Ever since the US Securities and Exchange Commission first started talking about regulating ICO tokens, debates over the status of cryptocurrencies have been the subject of speculation, with SEC commissioners' statements affecting the crypto market and price volatility.
Regulation makes sense only when it has a real impact on the situation in the financial market. Today, many question whether current securities laws are the right solution for the cryptocurrency market.
The latest statement from William Hinman, director of the division of corporate finance at the US Securities and Exchange Commission (SEC), has given some hope for a more nuanced understanding of the nature of crypto assets on the part of the regulator. According to Hinman, not all coins are subject to current securities laws in America.
Financial firm BX3 Capital has released a framework for US crypto regulation, proposing that Congress and the SEC approve new rules.
The proposed framework for US crypto regulation includes the following six features:
1. A central platform with simplified registration. The SEC may establish and maintain a central website platform on which all ICOs are listed and conducted, providing the SEC with direct control and transparency over all transactions by participants.
2. Limiting the amount of the ICO. The commission can set maximum amounts for raising funds during an ICO and control the intended use of funds.
3. Equal access to ICOs for all types of investors. Inclusion of both accredited, with a minimum of $1 million in net worth under today's rules, and non-accredited investors in the initial coin offering.
4. Number of investors. The number of investors will still be unlimited; however, there must be a minimum number of investors participating in the offering.
5. General Advertisement and Solicitation. General advertising and invitations are allowed with a few reservations.
6. National crypto exchange. In addition to supporting and facilitating ICOs, the centralized platform can also serve as an exchange for coins and tokens on the secondary market.
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