Nasdaq urges SEC to treat certain digital assets as ‘stocks by any other name’
Nasdaq has urged the US Securities and Exchange Commission (SEC) to hold digital assets to the same regulatory standards as securities if they constitute “stocks by any other name,” according to an April 25 comment letter.
The exchange said the US financial regulator needs to establish a clearer taxonomy for cryptocurrencies, including categorizing a portion of digital assets as “financial securities.” Those tokens, Nasdaq argued, should continue to be regulated “as they are regulated today regardless of tokenized form.”
“Whether it takes the form of a paper share, a digital share, or a token, an instrument’s underlying nature remains the same and it should be traded and regulated in the same ways,” the letter said.
It also proposed categorizing a portion of cryptocurrencies as “digital asset investment contracts,” to be subject to “light touch regulation” but still overseen by the SEC.
Related: Certain stablecoins aren’t securities, SEC says in new guidance
Regulatory U-turn
The SEC has dramatically pivoted its stance on cryptocurrency oversight since US President Donald Trump took office in January.
Under the leadership of former Chair Gary Gensler, the SEC took the position that practically all cryptocurrencies, with the exception of Bitcoin (BTC), represent investment contracts and therefore qualify as securities.
This stance led the agency to bring upwards of 100 lawsuits against crypto firms for alleged securities law violations.
However, under Trump nominee Paul Atkins, who was sworn in as chair on April 21 after a lengthy Senate confirmation, the SEC has claimed jurisdiction over a narrower segment of cryptocurrencies.
In February, the agency issued guidance stating that memecoins — if clearly identified as purely speculative assets with no intrinsic value — do not qualify as investment contracts pursuant to US law.
In April, the SEC said that stablecoins — digital tokens pegged to the US dollar — similarly do not qualify as securities if they are marketed solely as a means of making payments.
Integrating crypto into TradFi
In its April 21 letter, Nasdaq said existing financial infrastructure “can readily absorb digital assets by establishing the proper taxonomy and calibrating certain rules to reflect what is truly new and novel about digital assets.”
The Depository Trust & Clearing Corporation (DTCC) — a private US securities clearinghouse closely overseen by the SEC — has been laying the foundation for integrating blockchain technology into regulated financial markets.
In March, the DTCC committed to promoting Ethereum’s ERC-3643 standard for permissioned securities tokens.
Magazine: Ethereum is destroying the competition in the $16.1T TradFi tokenization race
Regulatory clarity is opening the door for banks, asset managers, and crypto firms to roll out new stablecoin products.
After about two weeks of hearing from US government witnesses, Roman Storm’s legal team called Preston Van Loon to the stand to kick off its defense case.
Emmanuel Macron has said France will recognise Palestine as a state later this year.
The French president announced the major change of policy in a letter to the president of the Palestinian Authority, Mahmoud Abbas, which Mr Macron also published online on Thursday evening.
The French leader said he will make the formal announcement at the UN General Assembly, being held in September.
France will become the first G7 member to recognise a Palestinian state.
In his post explaining the decision, Mr Macron called for an immediate ceasefire in Gaza, the release of the hostages and for much more humanitarian aid to reach those in the territory.
But Israel’s defence minister has called the French decision “a disgrace and a surrender to terrorism”.
Please use Chrome browser for a more accessible video player
Sky’s international correspondent John Sparks, reports on the children in Gaza who are experiencing malnutrition, one child wishes for ‘life to go back to how it was.’
The move heaps pressure on France’s allies such as the UK, and Sir Keir Starmer insisted tonight that he is “clear that statehood is the inalienable right of the Palestinian people”.
But the prime minister has resisted calls from within his own party to recognise Palestine immediately, as he views this as part of the peace process in Gaza.
Currently, half of the G20 recognise Palestine as a state, while nations including the UK, US, Germany and others do not.
But pressure has been growing on Sir Keir to change course, with senior Labour figures including the Mayor of London Sir Sadiq Khan publicly calling for a change in government policy.
Starmer: ‘We are witnessing a humanitarian catastrophe’
Just hours before Mr Macron’s announcement, Sir Keir said he would be holding an “emergency call” with the leaders of France and Germany over what he termed the “humanitarian catastrophe” happening in Gaza.
In some of the firmest language from the government yet, Sir Keir said that “the suffering and starvation unfolding in Gaza is unspeakable and indefensible”.
He went on to say that it has been “grave for some time”, but that it has now “reached new depths and continues to worsen”.
Please use Chrome browser for a more accessible video player
The PM says that
Sir Keir said: “I will hold an emergency call with E3 partners tomorrow, where we will discuss what we can do urgently to stop the killing and get people the food they desperately need while pulling together all the steps necessary to build a lasting peace.”
The PM added that “we all agree” on the need for Israel to “change course and allow aid that is desperately needed to enter Gaza without delay”.
He wrote: “It is hard to see a hopeful future in such dark times. But I must reiterate my call for all sides to engage in good faith, and at pace, to bring about an immediate ceasefire and for Hamas to unconditionally release all hostages.”
Across the globe, more than 140 countries recognise Palestine as a state.
Listen to The World with Richard Engel and Yalda Hakim every Wednesday
This breaking news story is being updated and more details will be published shortly.
Please refresh the page for the latest version.
You can receive breaking news alerts on a smartphone or tablet via the Sky News app. You can also follow us on WhatsApp and subscribe to our YouTube channel to keep up with the latest news.
-
Sports3 years ago‘Storybook stuff’: Inside the night Bryce Harper sent the Phillies to the World Series
-
Sports1 year agoStory injured on diving stop, exits Red Sox game
-
Sports2 years agoGame 1 of WS least-watched in recorded history
-
Sports2 years agoMLB Rank 2023: Ranking baseball’s top 100 players
-
Sports4 years ago
Team Europe easily wins 4th straight Laver Cup
-
Sports2 years agoButton battles heat exhaustion in NASCAR debut
-
Environment2 years agoJapan and South Korea have a lot at stake in a free and open South China Sea
-
Environment2 years agoGame-changing Lectric XPedition launched as affordable electric cargo bike