The US Securities and Exchange Commission (SEC) has unveiled a new rule offering crypto firms two exemptions from standard securities registration when raising capital, including a $5 million cap for one-time offerings over four years and a $75 million annual cap requiring financial statements and ongoing reporting.
The proposed rule, published on August 18, introduces a conditional safe harbour for certain crypto assets, which would exclude them from the “investment contract” definition under the 1933 Securities Act if management completes or ceases promised work. The SEC’s chairman, Paul Atkins, stated the framework aims to “amplify opportunities for entrepreneurs to innovate” within legal guardrails.
A 60-day public comment period follows the rule’s Federal Register publication, with final interpretations expected by March 2026. Meanwhile, the White House hosted a meeting with crypto and finance executives on August 19, though the full guest list remains uncertain.
The Senate’s cloture vote on the CLARITY Act, scheduled for September 15, faces disputes over ethics provisions and stablecoin regulations. The bill, which seeks to clarify crypto oversight, has stalled amid disagreements between lawmakers and regulators.
The Commodity Futures Trading Commission (CFTC) and other agencies remain engaged in broader crypto regulatory discussions, as policymakers balance innovation incentives with investor protection.
Written by Steven Cook
Regulation Desk
