SEC Proposes New Crypto Rules as CLARITY Act Stalls

The US Securities and Exchange Commission (SEC) has proposed new rules for the cryptocurrency industry in response to lawmakers' failure to pass the Digital Asset Market Clarity (CLARITY) Act.

The proposed rules aim to create a 'clear and fit-for-purpose framework' for investment contracts involving crypto assets, allowing entities to raise capital while preserving investor protections.

Crypto companies would be offered exemptions allowing the issuance of up to $5 million in tokens during a four-year period and up to $75 million during a 12-month period.

The public will have 60 days to comment on the proposal after publication in the Federal Register.