US SEC Chair Proposes Crypto Regulatory Safe Harbor, Covering Three Exemption Pathways for Startups and Fundraising

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ChainCatcher reports that according to the official website of the U.S. SEC, SEC Chairman Paul Atkins announced at the DC Blockchain Summit that, in addition to unveiling new cryptocurrency guidelines, he proposed a regulatory safe harbor for crypto assets, including three exemption pathways:

  1. Startup Exemption: Up to four years, allowing projects to gain regulatory buffer before reaching maturity. During this period, they can raise no more than $5 million and are required to submit general disclosure information.

  2. Financing Exemption: Permits raising up to $75 million within 12 months, with disclosure documents submitted to the SEC that include general disclosures, financial condition, and financial statements.

  3. Investment Contract Safe Harbor: When the issuer completes or permanently ceases core management efforts under the investment contract, related crypto assets may be exempt from securities classification.

Atkins stated that this framework draws on recent congressional work, especially the CLARITY Act, and is expected to release proposed rules for public comment in the coming weeks.

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