SEC Proposes Crypto Framework to Attract Innovators Back to the U.S.

Updated 17:33 UTC

New Developments on SEC's Crypto Framework

• The SEC proposed a major overhaul of transfer-agent rules on September 1, 2023, allowing blockchain technology to serve as a master securityholder file.
• Transfer agents will retain control over the official shareholder file, ensuring its accuracy and security.
• Proposed changes include replacing paper-based requirements with electronic recordkeeping standards and enhancing reporting around tokenization.
• Securitize, a registered transfer agent managing over $4 billion in assets, supports the proposal, advocating for the integration of public blockchains in securities recordkeeping.
• The SEC's proposal does not mandate blockchain use; transfer agents can choose their technology while ensuring security and accessibility.
• Proposed changes to Form TA-2 would require reporting on securities using distributed ledgers and tokenization platforms.
• Despite advancements, the SEC's framework still requires traditional identity information, such as a shareholder's full name and physical address, alongside digital wallet addresses.
• Public comments on the proposal are due 60 days after its publication in the Federal Register, which has yet to be scheduled as of September 1, 2023.

Updated 18:01 UTC

New Insights on Stablecoins and Digital Finance

• Circle's President Heath Tarbert testified before the House Financial Services Committee on September 2, emphasizing the need for the U.S. to leverage stablecoins to maintain the dollar's dominance in global payments.
• Circle's USDC stablecoin currently has a market value of approximately $70-75 billion, with projections suggesting the stablecoin market could grow to trillions in total capitalization.
• Circle received a national trust bank charter from the Office of the Comptroller of the Currency on July 10, 2026, followed by a limited-purpose trust charter from the New York Department of Financial Services on July 31, 2026.
• The GENIUS Act, signed into law on July 18, 2025, established the first federal licensing framework for payment stablecoins, with full enforcement set to begin in January 2027.
• USDC has processed trillions in cumulative transaction volumes, increasingly being used for non-speculative purposes such as cross-border payments and corporate treasury management.
• The Open USD consortium, backed by major companies like Stripe, Coinbase, Visa, and BlackRock, poses a competitive challenge to existing stablecoins.
• As of now, USDC ranks as the second-largest dollar-pegged stablecoin by market capitalization.

Updated 18:32 UTC

New Developments in the Crypto Clarity Act

• Brian Armstrong, CEO of Coinbase, asserts that most banks view the Digital Asset Market Clarity Act positively, despite public opposition from some banking trade groups.
• Armstrong highlighted this divide at the World Liberty Forum in February 2026, emphasizing that resistance primarily comes from trade groups rather than individual banks.
• Coinbase is actively supporting crypto infrastructure development for five major banks.
• The Senate Banking Committee advanced the CLARITY Act with a bipartisan vote of 15-9 in May 2026, following negotiations on stablecoin rewards.
• Armstrong suggested that the bill could be voted on by September 15, 2026.
• JPMorgan CEO Jamie Dimon publicly disagreed with Armstrong's view on bank sentiment, stating that banks will not accept the situation as described.
• The CLARITY Act aims to split regulatory oversight of digital assets between the SEC and the CFTC, while also establishing a framework for stablecoin regulations under the GENIUS Act.
• This bill has garnered bipartisan support and backing from the Trump administration, indicating a significant shift in the legislative landscape for crypto.
• Major banks are already collaborating with Coinbase on infrastructure, suggesting a proactive approach from the private sector in anticipation of regulatory developments.