TechFlow news, according to Cointelegraph, Mark Uyeda, acting chair of the U.S. Securities and Exchange Commission (SEC), has asked SEC staff to provide options for withdrawing a regulatory change that would extend the definition of exchanges to include cryptocurrency firms.
At the International Banking Federation's Washington conference on March 10, Uyeda said: "Given the significant public criticism regarding the proposal to extend the exchange definition into the crypto space, I have asked SEC staff to provide options for withdrawing parts of this proposal." He argued that combining oversight of U.S. Treasury markets with aggressive attempts to crack down on the crypto market was a mistake.
The rule was initially established in 2020 by former SEC Chair Jay Clayton to create clearer regulations for alternative trading systems, primarily targeting participants in the U.S. Treasury market. However, when former SEC Chair Gary Gensler implemented the rule, he expanded its scope beyond alternative trading systems, redefining the regulatory definition of an "exchange."
