SEC Proposes New Rules for Crypto Investment Contracts Amid Clarity Bill Stalemate

The U.S. Securities and Exchange Commission (SEC) has proposed new rules for investment contracts related to cryptocurrencies, aiming to create a clear framework that balances fundraising with investor protection.

The proposal, unveiled on an unspecified date, comes after SEC Commissioner Hester Peirce said it was an important step towards clearer digital asset regulation and away from existing unsuitable crypto rules.

'An entire generation has wrestled with the SEC's obstinacy,' Peirce said. 'The SEC has applied unsuitable rules to crypto.'

SEC Chair Paul Atkins also backed the bill, stating that the past enforcement-focused approach drove U.S. investors overseas and highlighting the need for rules in place before relying on enforcement.