SEC and CFTC Implement Crypto Relief Measures Following CLARITY Act Stagnation

Despite the U.S. Senate rejecting the CLARITY Act on September 15 with a 49-50 vote, the SEC and CFTC are moving forward with regulatory relief using existing authority. On September 17, the SEC issued a temporary exemption under Section 36(a)(1) of the Securities Exchange Act of 1934, allowing qualifying tokenized securities venues to operate without traditional exchange registration for five years. Investment advisors are advised to assess risks on a case-by-case basis as these measures are not permanent law.