SEC To Set Up New Office To Review Crypto Filings

The Securities and Exchange Commission (SEC) will set up two new offices and add them to its Division of Corporation Finance's Disclosure Review Program (DRP). One of the offices will deal with crypto filings and disclosures from digital asset service providers.

According to a statement from SEC last week, the Office of Crypto Assets will review filings involving crypto assets while the Office of Industrial Applications will be "responsible for the non-pharma, non-biotech, and non-medicinal products companies currently assigned to the Office of Life Sciences."

"The two new offices will join the seven existing offices that provide focused review of issuer filings and that are grouped by industry expertise to further the Division's work to promote capital formation and protect investors," the SEC stated.

It said that assigning companies and filings to one office will enable the regulatory authority to function smoothly and regulate crypto in a more efficient manner.

"As a result of recent growth in the crypto asset and the life sciences industries, we saw a need to provide greater and more specialized support in the DRP's Office of Finance and its Office of Life Sciences," said Renee Jones, Director of the Division of Corporation Finance.

Jones also pointed out that the creation of the new offices will "enable the DRP to enhance its focus in the areas of crypto assets, financial institutions, life sciences, and industrial applications."

As per a previous report, Cicely LaMothe, associate director for disclosure operations at the division, said that the goal behind creating a new crypto-focused office is to tackle "unique and evolving" filings coming from crypto firms.

SEC Chair Gary Gensler recently came out in support of Congress vesting the power to regulate leading cryptocurrencies Bitcoin (BTC) and Ether (ETH) with the Commodities Future Trading Commission (CFTC).

"Let's ensure that we don't inadvertently undermine securities laws," Gensler stated.