The SEC’s ambiguous rule could have a chilling effect both on decentralized finance and on the provision of liquidity to centralized crypto exchanges.
The Securities and Exchange Commission (SEC) adopted a new rule on...more
2/28/2024
/ Crypto Exchanges ,
Dealers ,
Decentralized Finance (DeFi) ,
Digital Assets ,
Financial Industry Regulatory Authority (FINRA) ,
Liquidity ,
Market Participants ,
New Rules ,
Registration Requirement ,
Securities and Exchange Commission (SEC) ,
Securities Dealers ,
Securities Exchange Act
SEC defines the phrase “as part of a regular business” to capture private funds and other market participants that take on liquidity-providing roles.
The Securities and Exchange Commission (SEC) adopted new rules that...more
2/26/2024
/ Dealers ,
Financial Industry Regulatory Authority (FINRA) ,
Government Securities ,
Liquidity ,
Market Participants ,
New Rules ,
Registration Requirement ,
Securities and Exchange Commission (SEC) ,
Securities Dealers ,
Securities Exchange Act ,
Securities Traders ,
SRO
The proposed amendment seeks to modify the existing framework of FINRA Rule 2210 to accommodate the use of certain projections and targeted returns.
On November 13, 2023, the Financial Industry Regulatory Authority...more
Guidance clarifies assessment of liability under Rule 3110, including designation as supervisor, application of reasonableness standard, and factors for and against charging compliance officials.
On March 17, 2022, the...more
In a year-end change of course, the SEC identified the minimum steps that broker-dealers must take when acting as custodians of digital asset securities. On December 23, 2020, the US Securities and Exchange Commission (SEC)...more
1/13/2021
/ Asset Tokens ,
Blockchain ,
Broker-Dealer ,
Custody ,
Digital Assets ,
Distributed Ledger Technology (DLT) ,
Enforcement ,
Financial Industry Regulatory Authority (FINRA) ,
Market Participants ,
New Guidance ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
SIFMA ,
Virtual Currency
The no-action relief applies to family offices with at least US$50 million in total assets (Institutional Family Offices) and requires broker-dealers seeking to rely on the relief to establish and maintain specific additional...more
In setting forth its rationale, FINRA observed that private placement retail communications reviewed by AdReg have “revealed significant and pervasive” violations of FINRA Rule 2210.
On October 28, 2020, the Financial...more
11/12/2020
/ Broker-Dealer ,
Client Communication ,
Comment Period ,
Financial Industry Regulatory Authority (FINRA) ,
Investment Company Act of 1940 ,
Private Offerings ,
Private Placements ,
Proposed Amendments ,
Qualified Institutional Buyers ,
Regulation S ,
Retail Investors ,
Rule 144A ,
Rule 2210 ,
Securities and Exchange Commission (SEC)
The guidance highlights certain issues identified by FINRA regarding member firm communications to retail investors in private placement offerings.
On July 1, 2020, the Financial Industry Regulatory Authority (FINRA)...more
In the wake of COVID-19, the SEC and FINRA are taking steps to support markets and market participants.
The US Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority, Inc. (FINRA) continue...more
The amendments modernize, restructure, and streamline Rule 5110.
On March 20, 2020, the Financial Industry Regulatory Authority, Inc. (FINRA) published Regulatory Notice 20-10 (RN 20-10), which provides additional guidance...more
As COVID-19 disruptions unfold, FINRA has granted temporary relief regarding alternate working arrangements for broker-dealer employees.
On March 9, 2020, the Financial Industry Regulatory Authority, Inc. (FINRA) issued...more
The amendments expand certain exemptions and provide additional guidance under Rules 5130 and 5131 with respect to equity IPO allocations.
On December 19, 2019, the Financial Industry Regulatory Authority (FINRA) issued...more
1/22/2020
/ Amended Rules ,
Broker-Dealer ,
Charitable Organizations ,
Corporate Issuers ,
Exemptions ,
Financial Industry Regulatory Authority (FINRA) ,
Foreign Investment Entities (FIEs) ,
Guidance Update ,
Initial Public Offering (IPO) ,
Investment Adviser ,
Investment Advisers Act of 1940 ,
Retirement Plan ,
Securities and Exchange Commission (SEC) ,
Sovereign-Controlled Companies ,
Special Purpose Entities
It was a year filled with tantalizing tidbits and many loose ends.
2019 marked the 10th year since blockchain technology was released into the wild by its still unknown inventor, Satoshi Nakamoto, who mined the first bitcoin...more
1/9/2020
/ Bitcoin ,
Blockchain ,
Chain of Custody ,
Cryptocurrency ,
Digital Assets ,
Distributed Ledger Technology (DLT) ,
Enforcement ,
Enforcement Actions ,
Financial Industry Regulatory Authority (FINRA) ,
Financial Transactions ,
Initial Coin Offering (ICOs) ,
No-Action Letters ,
Popular ,
Regulatory Agenda ,
Regulatory Standards ,
Securities Act of 1933 ,
Securities and Exchange Commission (SEC) ,
Securities Exchange Act ,
Securities Tokens ,
Token Sales ,
Unregistered Securities
US regulators are calling attention to financial firms’ obligations to protect against evolving cybersecurity threats.
On October 2, 2019, the Financial Industry Regulatory Authority (FINRA) issued an information notice to...more
11/26/2019
/ Business E-Mail Compromise (BEC) ,
CFTC ,
Cyber Attacks ,
Cyber Threats ,
Cybersecurity ,
Data Protection ,
Data Security ,
Enforcement Actions ,
Financial Industry Regulatory Authority (FINRA) ,
Information Systems Security Program (ISSP) ,
National Futures Association ,
New Guidance
The Annual Report provides transparency on FINRA’s recent examination findings and focus for the coming year.
On October 16, 2019, the Financial Industry Regulatory Authority (FINRA) published its annual Report on...more
In line with its previous guidance, FINRA has granted broker-dealer (but not custodian) status to a digital asset platform.
In a follow-up to the July 2019 SEC and FINRA joint staff statement (Joint Statement) clarifying...more
Recent SEC guidance on digital assets cleared a path for at least certain stable coins or payment tokens to avoid securities regulation. However, Latham & Watkins attorneys say there are still a number of open questions that...more
The regulators attempt to clarify their position on the possible custody of digital assets by broker-dealers, but questions remain.
The SEC and FINRA recently released a joint staff statement (Joint Statement) addressing...more
The new initiative promises standard settlements for qualifying self-reported violations.
On January 28, 2019, the Financial Industry Regulatory Authority (FINRA) issued Regulatory Notice 19-04 announcing its 529 Plan...more
FINRA Enforcement head Susan Schroeder offers member firms clarity on arguments most likely to move FINRA to decline an Enforcement action.
The Financial Industry Regulatory Authority (FINRA) relies on a framework of core...more
Proposal seeks to clarify and enhance obligations applicable to a broker-dealer’s retail customer interactions, but may raise more questions than answers.
The Securities and Exchange Commission (SEC) proposed for public...more
The proposal represents a major step in what promises to be a full-scale overhaul of FINRA’s Capital Formation Rules -
On April 12, 2017, the Financial Industry Regulatory Authority, Inc. (FINRA) published Regulatory...more
The safe harbor would offer relief from certain requirements of FINRA’s research rules, but significant compliance obligations and questions remain.
On April 12, 2017, the Financial Industry Regulatory Authority, Inc....more
The proposed consolidated rules bifurcate the representative-level examination program and introduce greater flexibility in obtaining and maintaining registrations.
On March 8, 2017, the Financial Industry Regulatory...more
Amendment to FINRA Communications Rule would put member firms on a more equal footing with investment advisers.
In February 2017, the Financial Industry Regulatory Authority, Inc. (FINRA) announced a proposed amendment...more