SEC to Tighten Crypto Regulations in 2024, Aims for Investor Security
SEC Targets Crypto Traders
The US Securities and Exchange Commission (SEC) has announced in its 2024 examination guidance that it intends to take a closer look at crypto traders, brokers, and transfer agents.
What does this mean for crypto traders?
The SEC plans to extend its oversight to crypto dealers and brokers. It wants to ensure that they meet the same regulatory standards as traditional financial service providers. This includes, among other things, compliance with anti-money laundering guidelines and providing sufficient information for investors.
Focus on Transfer Agents
Transfer agents, who are responsible for the management of securities transfers and the maintenance of the shareholder register, are also to be more closely monitored. The SEC wants to check whether they are fulfilling their duties correctly and whether they are taking the necessary security precautions to protect their clients’ assets.
Outlook
The planned measures by the SEC show that the authority takes the crypto market seriously and is ready to regulate it more heavily. This could lead to more security and trust among investors. However, the affected companies must prepare for stricter controls and possibly also higher costs.
Sources:
– Report from the SEC (Securities and Exchange Commission)
– Various reports from the financial press
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