Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
Crypto Flexs
  • DIRECTORY
  • CRYPTO
    • ETHEREUM
    • BITCOIN
    • ALTCOIN
  • BLOCKCHAIN
  • EXCHANGE
  • ADOPTION
  • TRADING
  • HACKING
  • SLOT
Crypto Flexs
Home»ADOPTION NEWS»SEC decision to encryption rules: Request for customized regulations
ADOPTION NEWS

SEC decision to encryption rules: Request for customized regulations

By Crypto FlexsFebruary 7, 20253 Mins Read
Facebook Twitter Pinterest LinkedIn Tumblr Email
SEC decision to encryption rules: Request for customized regulations
Share
Facebook Twitter LinkedIn Pinterest Email

Felix Pinkston
February 4, 2025 14:18

The debate began when the traditional market rules of the SEC were applied to encryption. Customized regulations are proposed to solve the unique functions of Crypto and to promote innovation that ensures investor protection.





The US Securities and Exchange Commission (SEC) has been criticized for applying traditional market rules to rapidly evolving cryptocurrency sectors. According to the A16Z Crypto, this approach was considered unproductive in fostering innovation and ensuring investor protection.

Challenge to apply existing rules to encryption

SEC’s historical approach, often called “regulation by execution,” is to expand existing securities rules to new technologies such as blockchain and encryption assets. This method has been criticized for lack of clarity and adaptation to the unique characteristics of cryptocurrencies. The traditional rules designed for the existing securities market are not always matched with the distribution and digital characteristics of blockchain technology.

You need customized regulations

There is a growing agreement that the SEC should adopt a customized regulatory framework for the encryption industry. These regulations will take into account the distinct features of encryption assets such as token securities and distributed finance (Defi) products that are largely different from existing financial products.

Current regulatory proposals, such as the best execution rules and protection rules, emphasize the problem of encrypting existing frameworks. Designed mainly for traditional markets, this rule can cause confusion and potential innovation because it does not take into account the operating dynamics of encryption.

Proposed approach for effective regulations

Industry experts suggest that the SEC must collect market data and insights in cooperation with encryption leaders. This collaboration not only protects investors, but also helps to create rules that accept the innovative characteristics of cryptocurrency. The SEC approach to the after -financial crisis is exempted by a specific market participant and is cited as a successful example of customized regulations.

In addition, it is recommended that the SEC uses existing tools such as Exchange Act Rule 10b-5 to solve fraud and manipulation without imposing inappropriate rules. This approach can prevent regulatory over rich and promote a balanced environment for encryption innovation.

conclusion

Controversy over the enactment of the SEC rules emphasizes the need for a subtle approach to cryptocurrency regulations. By recognizing the unique properties of Crypto Market and working with industry stakeholders, the SEC can develop a framework that guarantees investor protection while fostering technology development.

Image Source: Shutter Stock


Share. Facebook Twitter Pinterest LinkedIn Tumblr Email

Related Posts

COREWEAVE is a NVIDIA GB200 Super Chip that achieves recorded MLPERF benchmarks.

June 6, 2025

The robot of 1x Technologies aims to revolutionize ordinary work with AI.

June 5, 2025

The Ether Leeum Foundation summarizes a comprehensive financial policy.

June 5, 2025
Add A Comment

Comments are closed.

Recent Posts

COREWEAVE is a NVIDIA GB200 Super Chip that achieves recorded MLPERF benchmarks.

June 6, 2025

Bitcoin dives for less than $ 102K in fading momentum and macroscopic uncertainty.

June 6, 2025

Arca EXEC writes a scratch on Circle after IPO

June 6, 2025

The robot of 1x Technologies aims to revolutionize ordinary work with AI.

June 5, 2025

Trump is a magical Eden encryption wallet tie, Trump coin deep 13%

June 5, 2025

Bitcoin prices slide again, causing new fear of deeper modifications.

June 5, 2025

The Ether Leeum Foundation summarizes a comprehensive financial policy.

June 5, 2025

Using BCC mining increases daily passive income of $ 57,700

June 5, 2025

Ray for the square and scalable AI solutions and RAG pipelines on all scale

June 5, 2025

Economist Henrik Zeberg says that Altcoins is trying to start an explosive stage and updates Outlook and Under-The Radar Crypto for Dogwifhat.

June 5, 2025

How Algorand is quietly building the future of finance around the world

June 5, 2025

Crypto Flexs is a Professional Cryptocurrency News Platform. Here we will provide you only interesting content, which you will like very much. We’re dedicated to providing you the best of Cryptocurrency. We hope you enjoy our Cryptocurrency News as much as we enjoy offering them to you.

Contact Us : Partner(@)Cryptoflexs.com

Top Insights

COREWEAVE is a NVIDIA GB200 Super Chip that achieves recorded MLPERF benchmarks.

June 6, 2025

Bitcoin dives for less than $ 102K in fading momentum and macroscopic uncertainty.

June 6, 2025

Arca EXEC writes a scratch on Circle after IPO

June 6, 2025
Most Popular

Bitcoin (BTC) rally

May 27, 2025

Role of Bitcoin in Defi: Unexpected Gold People

March 23, 2025

Avoid a reversal with Dawn Slot’s duel

November 24, 2024
  • Home
  • About Us
  • Contact Us
  • Disclaimer
  • Privacy Policy
  • Terms and Conditions
© 2025 Crypto Flexs

Type above and press Enter to search. Press Esc to cancel.