According to the US Securities and Exchange Commission, software that facilitates user interfaces for transacting crypto securities through individual wallets does not require registration and regulation as a brokerage firm. This stance is in line with the agency's recent position that software developers should be able to create software without triggering such regulations.
The SEC has provided a set of guidelines for interface creators to avoid being classified as broker-dealers, including not soliciting investors for specific transactions and not providing commentary on potential execution routes. However, if an interface offers financing, provides investment advice, handles user assets, takes orders, or executes transactions, it will be subject to regulation. The SEC is taking an interim approach while considering various regulatory issues related to crypto asset securities activities. Under the current administration, the SEC has shifted its stance on crypto regulation, with the agency's leadership now embracing the technology.
The SEC is working on developing comprehensive rules, with wide-ranging regulations nearing the proposal stage. In the meantime, the agency is implementing interim measures to provide greater clarity and certainty.