The US Securities and Exchange Commission has announced that software facilitating cryptocurrency transactions through individual wallets will not require registration and regulation as a broker. In its latest staff statement on cryptocurrency, the SEC outlined that websites or software used for securities transactions with self-hosted wallets will not be classified as broker-dealers, aligning with the agency's stance that developers should be able to create software without triggering such regulations. To avoid regulation, interface creators must ensure their platforms do not solicit investors for specific transactions, provide commentary on execution routes, offer financing, give investment recommendations, handle user assets, take orders, or execute transactions.
The SEC is providing interim guidance while considering regulatory issues related to cryptocurrency and feedback received. Under the current administration, the SEC has shifted towards a more supportive stance on cryptocurrency, with Chairman Paul Atkins working on proposing comprehensive rules. The agency is also developing interim measures to provide clarity, while the Senate works on the Clarity Act to establish crypto regulations in law.