The U.S. Securities and Exchange Commission officially revoked its controversial crypto accounting guidance, which forced financial institutions to account for crypto assets as liabilities on their balance sheets.<\/p>\n
In an open statement<\/a> on Thursday, 23 January 2025, the regulator referred to the passing of Staff Accounting Bulletin 122, which essentially overrides the earlier guidance under SAB 121. It\u2019s just about thrown a wedge into the already split argument for the previous directive.<\/p>\n \u201cThis staff accounting bulletin (\u2018SAB\u2019) rescinds the interpretive guidance in Section FF of Topic 5 in the Staff Accounting Bulletin Series entitled Accounting for Obligations to Safeguard Crypto-Assets an Entity Holds for its Platform Users (\u2018Topic 5.FF\u2019),\u201d said SAB 122.<\/p>\n The SEC added, however, that entities do not have to stop disclosing the obligations and risks of safeguarding crypto assets.<\/p>\n EXPLORE:\u00a0Trump Signs Crypto Executive Order With David Sacks: Here\u2019s Everything You Need to Know<\/a><\/strong><\/p>\n This has been welcomed as a win for the cryptocurrency space. The tone under acting Chair Commissioner Mark Uyeda appears to have changed from what it was during that of his predecessor, former Chair Gary Gensler.<\/p>\n Over the prior years, the crypto space saw heavy-handed regulatory campaigns under Gensler\u2019s administration. Early decisions by Uyeda show a promising change in the direction of the SEC regarding regulating digital currencies.<\/p>\n The 2022 guidance<\/a>, SAB 121, would have forced banks to hold customer crypto assets as liabilities, which lawmakers on both sides of the aisle and the crypto sector lobbied hard against. After much wrangling, lawmakers voted along party lines to invalidate it.<\/p>\n However, efforts to block SAB 121 initially proved futile after former President Joe Biden vetoed the bipartisan ruling. At the time, Biden claimed the guidance was necessary in accounting terms \u2013 much to the ire of many within the crypto sphere.<\/p>\n That was reversed under the Donald Trump presidency, and the administration changed. Trump lost no time getting onto the crypto podium, acting on campaign promises to help the industry. Major crypto advocates have praised his administration for swift action on issues such as de-banking and in making the United States a frontrunner in digital asset innovation.<\/p>\n During his first week, Trump signed an executive order to create the Presidential Working Group on Digital Assets Markets. The group aims to develop a comprehensive regulatory scheme for digital assets and a study for creating a national digital asset reserve\u2014which most believe is the prerequisite to the Bitcoin Strategic Reserve.<\/p>\n Acting Chairman Mark T. Uyeda launched a crypto task force dedicated to developing a comprehensive and clear regulatory framework for crypto assets. Commissioner Hester Peirce will lead the task force. For more: https:\/\/t.co\/cImOILB7HG<\/a><\/p>\n \u2014 U.S. Securities and Exchange Commission (@SECGov) January 22, 2025<\/a><\/p>\n\n The pullback of SAB 121 and the SEC\u2019s retreat are signals for more friendly cryptocurrency markets under the new administration.<\/p>\n EXPLORE:\u00a0Everything You Need to Know About New SEC Boss Hester Peirce<\/a><\/strong><\/p>\n A lot has happened in the first few days of the\u00a0President-elect\u2019s taking office. President Trump recently signed an executive order titled \u201cStrengthening American Leadership in Digital Financial Technology<\/a>.\u201d For bitcoin enthusiasts, this might just be the <\/span>Overton window they have been waiting for. The order emphasizes support and responsible growth of digital assets.<\/p>\n It also recognizes citizens\u2019 rights to access and freely use open public blockchain networks without any interference. The order mentions permissions for users to develop software, maintain self-custody, and participate in mining.<\/p>\n The new executive order also explicitly bans the creation, use, and promotion of CBDCs. This move could be seen as the new administration\u2019s leaning towards an open blockchain network.<\/p>\n Any ongoing or planned CBDC-related projects within the federal agencies have been halted. The reason stated was concerns regarding individual privacy, national sovereignty, and system stability.<\/p>\n This executive order signals a fork in the road for many in the crypto space. The Trump administration has firmly placed Bitcoin at the heart of the American economy.<\/p>\n EXPLORE:\u00a0Who is Mark Uyeda? New SEC Chief Could Spark a Crypto Golden Age<\/a><\/strong><\/p>\n Join The 99Bitcoins News Discord Here For The Latest Market Updates<\/a><\/strong><\/p>\n The post US Crypto Space Relieved as SEC Rolls Back Sab 121<\/a> appeared first on 99Bitcoins<\/a>.<\/p>","protected":false},"excerpt":{"rendered":" The U.S. Securities and Exchange Commission officially revoked its controversial crypto accounting guidance, which forced financial institutions to account for crypto assets as liabilities on their balance sheets. In an open statement on Thursday, 23 January 2025, the regulator referred to the passing of Staff Accounting Bulletin 122, which essentially overrides the earlier guidance under […]<\/p>\n","protected":false},"author":0,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[4],"tags":[],"class_list":["post-38781","post","type-post","status-publish","format-standard","hentry","category-discovery"],"_links":{"self":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/38781"}],"collection":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/types\/post"}],"replies":[{"embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=38781"}],"version-history":[{"count":0,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=\/wp\/v2\/posts\/38781\/revisions"}],"wp:attachment":[{"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=38781"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=38781"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/mycryptomania.com\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=38781"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Change in SEC Leadership Allows Favourable Tailwind in the US Crypto Space<\/strong><\/h2>\n
What Does the Future of Digital Assets Look Like Under New Administration?<\/h2>\n