The US Securities and Exchange Commission has announced that software enabling users to conduct cryptocurrency transactions through their personal wallets will not be required to register as a broker. In its latest statement on cryptocurrency, the SEC has provided guidance on how developers can create software without triggering regulatory requirements. To avoid being classified as a broker-dealer, the software must not solicit investors, provide investment advice, handle user assets, take orders, or execute transactions. The SEC has also emphasized that if the software offers financing, provides commentary on potential execution routes, or engages in other activities, it will be subject to regulatory oversight.
The agency's stance is part of its efforts to provide clarity and guidance to the crypto industry, with SEC Chairman Paul Atkins working on developing comprehensive rules for cryptocurrency regulation. The SEC's interim measures aim to provide certainty for the industry while more permanent rules are being developed.