- SEC chair urges temporary relief framework to boost U.S. crypto market.
- Uyeda emphasizes federal regulations to avoid a patchwork of state laws.
- Blockchain tech holds the potential to revolutionize financial market transactions.
Mark Uyeda, the acting chair of the U.S. Securities and Exchange Commission (SEC), has urged for temporary crypto regulations to advance innovation in the U.S. Uyeda made these statements at the SEC’s “Between a Block and a Hard Place: Tailoring Regulation for Crypto Trading” roundtable on April 11.
Uyeda proposed a fast-tracked, short-term regulatory framework to provide crypto firms with clear guidelines until the establishment of permanent regulations.
Uyeda pointed out the benefits of a short-term relief regulatory solution for registered and non-registered companies. Uyeda states that this temporary framework could support short-term blockchain innovation in the United States. He emphasized the need for immediate action to avoid stunted industry growth despite the challenges between regulation and innovation.
Uyeda Calls Out State-Level Crypto Regulations
Uyeda criticized the state-by-state approach to cryptocurrency trading regulation because it creates major hurdles for businesses. Uyeda warned that such a framework could result in a “patchwork of state licensing regimes,” which further complicates the regulatory space.
Alternatively, Uyeda proposed a federal framework that could assist crypto asset providers in their operations with tokenized securities and non-security digital assets. He believes that a standardized federal license would make it simpler for companies to overcome state-level regulatory requirements.
Regulatory Relief and Blockchain Potential
The roundtable discussion included industry leaders such as Uniswap Labs, Cumberland DRW, and Coinbase executives to examine possible regulatory directions. Uyeda requested crypto market participants to submit their recommendations on areas they deemed appropriate for exemptive relief opportunities. Such input will assist the SEC to develop short-term regulations to address the current market problems and foster innovation.
Moreover, Uyeda discussed the potential of blockchain to transform financial markets. He believes that blockchain technology enables more efficient and reliable options to execute and clear securities transactions compared to traditional solutions. Additionally, Uyeda emphasized the blockchain’s potential to enhance efficiency in capital and liquidity through its ability to manage collateral as tokenized assets.
Uyeda will continue to serve as the SEC chair until Donald Trump’s nominee, Paul Atkins, is sworn in. On April 10 the Senate voted 52-44 to confirm Paul Atkins as SEC chair. Uyeda took over as acting chair on January 20, 2025, after the exit of Gary Gensler. His pro-crypto position has made Uyeda a better-accepted figure in the digital asset industry, unlike his predecessor, Gensler.