Regulators Rush to Fill Void Left by Stalled Crypto Regulation Bill
US regulators are scrambling to fill the regulatory void left by the stalled Clarity Act, a comprehensive crypto market structure bill. The bill's future was thrown into question after a failed Senate vote two days ago. In response, the SEC and CFTC have begun building on existing authority to establish a regulatory rulebook for the crypto industry.
The bipartisan coalition of state attorneys general argued in a letter to the Senate Banking Committee that the Clarity Act would displace states' abilities to regulate securities markets. This led regulators to move quickly to address the void left by the stalled bill.
The SEC has issued an order creating a temporary pathway for trading certain tokenized stocks, inching financial markets closer to 24/7 trading. This is part of the agency's efforts to expand its crypto rulebook under existing authority.