SEC’s Uyeda Plans to Strike Crypto From Trading System Proposal

A Securities and Exchange Commission proposal requiring digital asset exchanges to register under alternative trading system rules is in for an overhaul.

Acting SEC Chair Mark Uyeda said Monday that he has asked staff to pare back parts of the rule, which was proposed in 2022 and would have broadened the definition of an “exchange.”

At the time, regulators said the measure would close a regulatory gap created by certain platforms. The move garnered major industry opposition from the likes of Coinbase Global Inc., who said it would dramatically curtail their operations.

“In my view, it was a mistake ...