Insights

SEC’s 2026 SBSD and SBSEF Examination Priorities: What Firms Should Expect and How to Prepare

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Summary Situation Overview: The Securities and Exchange Commission’s (SEC) Division of Examinations (Division) released its 2026 examination priorities for Security-Based Swap Dealers (SBSDs) and, for the first time, examinations for Security-Based…

SBSD De Minimis Threshold Phase-In: Potential Relief Ahead, but Firms Should Prepare for All Scenarios

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Summary Situation Overview: The SEC’s temporary de minimis thresholds for security-based swap dealing activity ($8 billion for credit default swaps and $400 million for non-CDS) are scheduled to change following the expiration of the current…

The Future of U.S. Crypto Regulation: Analyzing the CLARITY Act and the RFIA

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Summary: Context: The U.S. Congress is actively developing a robust regulatory framework to govern digital assets, aiming to provide clarity and stability to the rapidly evolving industry. What: The House of Representatives passed the CLARITY…

Fed Withdrawal of Guidance Marks Milestone for Banks’ Future Crypto Activity

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Summary: Situation Overview: The federal banking agencies have withdrawn previously issued guidance related to banks’ crypto activities, marking a shift in regulatory posture toward digital asset engagement. What: On April 25, the Federal…

Key Takeaways from SEC Crypto Task Force Custody Roundtable

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Summary: Situation Overview: The SEC’s Crypto Task Force is advancing its exploration of regulatory frameworks for digital asset custody. What: The SEC hosted its third roundtable, Know Your Custodian, focusing on challenges and potential…

Federal Reserve Hardens Stance Towards Crypto, Denies Bank Membership

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What’s Happening Federal Reserve (FRB) denies membership and master account application for state-chartered Custodia Bank with crypto-focused business model FRB presumptively prohibits banks it supervises from holding crypto as principal…

Banking Regulators Send Strong Warning About Crypto Risks

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Federal banking agencies encourage banks to monitor crypto risks, stress importance of keeping crypto sector risks isolated from broader financial system. Regulators view open, public or decentralized networks as highly likely to be inconsistent…

Crypto Requires Robust Risk Management Framework

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Effective and comprehensive risk management is key to the cryptocurrency industry’s future success. The industry would mitigate various risks by following the five principles described here. The recent bankruptcy of a major cryptocurrency…

FSOC Releases Digital Asset Report, Signaling Increased Future Scrutiny

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A recent digital asset report (“Report”) issued by the Financial Stability Oversight Council (“FSOC”) criticized many digital asset market activities and market participants for lacking sufficient risk controls or amplifying financial…

Our Op-Ed in the American Banker: An Unworkable Compromise on Stablecoins

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The crypto industry yearns for legislative clarity on stablecoins, but the industry and consumers may be better off under the status quo than a flawed compromise. A one-size-fits-all approach could squash innovation. Expanding Federal…