The Securities and Exchange Commission (SEC) has delayed rectifying the definition of “digital assets” in regulatory regulations. The US security regulators proposed to define the digital asset term in their proposal nine months ago.
On May 03, the American Securities and Exchange Commission (SEC) published final amendments to Form PF to clarify rules and regulations for large hedge funds and private equity funds. Users’ expectations are dashed as SEC pulls back from defining the formal definition of “digital assets” in the “final version” of a rule.
An amendment to the PE form is a document that SEC-registered institutions and firms are required to fill in order to provide basic fund information. This form can help regulators assess any “systematic risk”.
The SEC issued a statement defending itself after not adding the word “digital asset”. SEC said, “We proposed adding ‘digital assets’ as a new term to the Form PF Glossary of Terms. The Commission and staff are continuing to consider this term and are not adopting “digital assets” as part of this rule at this time.”
The SEC claimed in its August proposal that information about a fund’s digital assets is presently reported under an “other” category, resulting in less comprehensive Form PF data analysis.
Also read: SEC Levies $4 Million Penalty Against Coinme
