SEC Abruptly Cancels Meeting on Reg Crypto, Its Crypto Funding Framework

TL;DR

• Just hours before it was supposed to happen, the SEC cancelled the meeting where it was set to propose Regulation Crypto

• The reason is "an unforeseen scheduling issue", according to an SEC spokesperson, and no new date has been set

• The meeting would have opened Regulation Crypto, a centerpiece in SEC chair Paul Atkins' crypto agenda, to public comment

• The delay adds to regulatory uncertainty, with the CLARITY Act vote also postponed until September

Just hours before it was supposed to happen, the SEC cancelled the meeting where it was set to propose Regulation Crypto. The cancellation was announced in an end-of-day statement on Thursday. The reason for the cancellation is “an unforeseen scheduling issue”, according to an SEC spokesperson. No new date has been set.

The Centerpiece of Atkins' Crypto Agenda

The meeting would have opened Regulation Crypto, the SEC’s framework for crypto funding, to public comment. It’s a centerpiece in SEC chair Paul Atkins’ crypto agenda. The meeting was announced on Monday, just four days before it was supposed to happen, rather than the usual week for this kind of meeting.

Until a formal rule has been put in place, every case rests on guidance from the SEC. And guidance can change quickly between administrations. A formal rule brings clarity.

There has been no indication that there’s disagreement within the SEC or the three Republican commissioners that’ll vote on opening up the proposal for public comment. The short notice, just four days, could be the culprit for the scheduling conflict.

A Busy Crypto Month Ahead

This delay just adds to the regulatory uncertainty for crypto firms, since the CLARITY Act vote was also postponed and is now expected when the Senate is back from recess in September. This could make the coming month very busy, crypto-wise. 

A White House roundtable with the who’s who of digital assets in the US is scheduled on the 19th of August, sources have told POLITICO. The Polymarket CEO has seemingly confirmed his attendance on X. The CFTC will hold its first Innovation Advisory Committee meeting on August 20th. And now, hopefully, there’s to be another SEC meeting on Reg Crypto at the end of August or beginning of September.

Scheduling conflict is the most likely explanation for this delay seeing as it was planned on shorter than usual notice. However, it’s about time the US government starts walking the walk. Luckily, at least the OCC and FDIC are making progress for crypto firms. A new meeting date within the next few days keep the SEC’s framework plan credible.