stable coins

Story: SEC’s Regulation Crypto Vote Threatens to Upend How Startups Raise Capital

By Maheen Hernandez

1 / 15

The CLARITY Act Is Going Nowhere Fast. Meanwhile, the legislative route is stuck. The Digital Asset Market Clarity Act passed the House…

2 / 15

Banks Are Nervous, Fintechs Are Ready. One fight that's gotten less attention: crypto reward programs.

3 / 15

The SEC is meeting August 14. On the table: a proposal that could fundamentally change how crypto companies raise money in the U.S.

4 / 15

The proposal, called Regulation Crypto, would let digital asset firms raise capital without going through full securities registration. That's a big deal.

5 / 15

None of this is final. But the direction is pretty clear.

6 / 15

The CLARITY Act's core idea is a split: the SEC handles securities, the CFTC handles commodities. Bitcoin and ethereum would fall under CFTC jurisdiction as commodities.

7 / 15

The bill also includes ethics rules for public officials involved in crypto and protections for software developers. Those provisions are contentious. They've slowed things down.

8 / 15

More context: CLARITY Act Has a 75% Chance of Dying Before September Vote

9 / 15

CFTC Chairman Michael Selig said his agency is ready to move on rulemaking regardless of whether the CLARITY Act passes. That's notable.

10 / 15

One fight that's gotten less attention: crypto reward programs. Banks are worried that yield-bearing crypto products could pull deposits away from conventional savings accounts.

11 / 15

That tension doesn't get resolved by either the SEC vote or the CLARITY Act directly. But the regulatory environment shapes it.

12 / 15

For crypto startups specifically, the SEC vote on August 14 is probably the more immediate thing to watch.

13 / 15

Read also: Waters, Warren, Brown, Bennet: Four Democrats With F-Ratings Could Kill Crypto Reform

14 / 15

Broader context: the SEC has taken heat for years for being slow and enforcement-heavy on crypto. Regulation Crypto, if it moves forward, would be a real shift — not just a tweak.

15 / 15

The CFTC and SEC are both moving. Congress is stuck. And the industry is watching August 14.

The Currency Analytics

Want the full story?