Mark Uyeda, the Commissioner of the US Securities and Exchange Commission [SEC] recently asserted that the regulator needs to create a separate S-1 registration form for digital asset securities.
In a conversation at the Korea Blockchain Week 2024 event in Seoul, South Korea, the commissioner highlighted how the current registration form doesn’t cover the base for all financial products. Uyeda underlined that the agency works with product sponsors to come up with customized registration requirements.
Further elaborating, he reportedly said,
“Well, why shouldn’t we do the same thing with crypto, digital asset securities? We have the flexibility to do that, and that was in part, expressing my frustration in that we have not done more of that to accommodate sponsors of these types of digital assets that they have concluded as securities.”
That being said, it should be noted that Uyeda is one of the SEC’s five commissioners. He has a fixed term until June 2028 and clarified that his views are personal and do not reflect the agency's.
Ripple’s Chief Legal Officer, Stuart Alderoty recently specified that the term "crypto asset security" is nowhere to be found in any statute. He exclaimed that it is “a fabricated term with no legal basis,” and thus, the SEC ought to stop deceptively using it.
Uyeda further added that the SEC needs to consider other regions around the world, including the EU, South Korea, and Japan, before laying out the next set of regulations for crypto assets.
He said,
“I hope at some point, whether it’s Gensler or any of his successors, will think about, we’ve now had a fair amount of regulatory uncertainty on digital assets, maybe we ought to move forward with some legislation or rulemaking.”
