The Chair of the US Securities and Exchange Commission (SEC) Crypto Task Force has set forth a set of key priorities or "crypto commandments” as the Trump administration embarks on its new approach to crypto regulation. Commissioner Hester Peirce, long known for her balanced approach to crypto regulation, has been tasked with leading the newly established Crypto Task Force to reset policy toward the industry. The overall message is clear: the SEC aims to bring clarity, reduce regulatory confusion, and create a framework that fosters innovation while keeping fraudsters accountable.
According to Peirce:
the Task Force wants to travel to a destination where people have great freedom to experiment and build interesting things, and which will not be a haven for fraudsters.
For crypto enthusiasts, developers, and investors, this marks a shift from the SEC’s historically regulation by enforcement led approach. Peirce suggests the Task Force will work toward a structured and transparent regulatory path. While the inherent complexities of crypto regulation mean it will be a while before it is "smooth sailing" (to the extent that can ever be reached in regulated environments), the priorities give a clearer sense of direction for policy development and regulatory enforcement.
The SEC’s 10 Crypto Commandments
Security Status: Determining which crypto assets qualify as securities under US laws.
Scoping Out: Identifying areas that fall outside the SEC’s jurisdiction and clarifying enforcement boundaries.
Coin and Token Offerings: Exploring a potential framework for temporary relief for token issuers, allowing them to operate with more certainty while maintaining transparency.
Registered Offerings: Evaluating modifications to existing registration pathways, such as crowdfunding to make compliance more accessible for crypto projects.
Special Purpose Broker-Dealer licence: Reviewing and updating broker-dealer rules to accommodate crypto asset trading, including securities and non-securities.
Custody Solutions for Investment Advisers: Establishing a practical framework for investment advisers to custody crypto assets securely and legally.
Crypto Lending and Staking: Assessing regulatory approaches for lending and staking activities, which remain critical to the crypto economy.
Crypto Exchange-Traded Products: The SEC is receiving proposals for new crypto exchange-traded products, and its Crypto Task Force will work with staff to clarify the approval process, consider modifications like staking and in-kind transactions, and address custody and other regulatory issues before implementation.
Clearing Agencies and Transfer Agents: The Task Force will also address how crypto interacts with clearing agency and transfer agent rules, working with market participants on tokenising securities and integrating blockchain into traditional finance.
Cross-border Sandbox: Enhancing collaboration with international regulators to establish global standards for crypto oversight.
Why This Matters and what's next
For years, crypto market participants have been stuck in a regulatory limbo in the US, facing enforcement actions without clear rules and what might be called a disingenuous invitation to "come in register". Peirce’s statement acknowledges these challenges and signals a willingness to craft a more structured approach. The emphasis on clarity and practicality suggests that the SEC may finally be moving away from its stance of “regulation by enforcement.”
This does not mean crypto-related businesses and projects can do what they want. The SEC will still impose compliance obligations, and some participants will find them restrictive. However, these ten commandments provide a much-needed framework that seeks to balance innovation with investor protection. Commissioner Peirce has called on the industry and the public to stay engaged and help shape policy development via submissions and consultations as the Taskforce begins its important work.
Written by Steven Pettigrove, Luke Higgins and Michael Bacina
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