Latest Legal Updates

Cryptocurrency regulatory developments worldwide

SEC Launches Project Crypto Initiative to Modernize Securities Laws for Digital Assets

The U.S. Securities and Exchange Commission (SEC) has initiated Project Crypto, an agency-wide effort to modernize securities laws specifically for digital asset markets. This initiative aims to foster capital formation and enable America's financial markets to transition on-chain. Project Crypto will utilize formal notice-and-comment rulemaking processes, along with interpretive and exemptive authorities, to overhaul regulations governing certain digital assets and digital asset service providers. Project Crypto represents a comprehensive SEC-wide push to update the existing securities regulatory framework, which has historically applied to traditional financial instruments, to better accommodate the unique characteristics of digital assets. The initiative is positioned as a proactive measure to support innovation in the cryptocurrency sector while ensuring investor protection under the securities laws. The project involves key SEC authorities and will focus on revising rules that impact digital asset issuers, trading platforms, and other service providers involved in the crypto ecosystem. Latham & Watkins, a prominent law firm, highlighted this development in their US Crypto Policy Tracker on regulatory matters. By employing formal rulemaking procedures, the SEC intends to create a more tailored regulatory environment that promotes the growth of on-chain financial activities. This overhaul is expected to address longstanding ambiguities in how digital assets are classified and regulated as securities.

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01🇺🇸 US

1d ago

JAMS Offers ADR Protocols for Blockchain and Smart Contract Disputes

JAMS, a provider of mediation, arbitration, and alternative dispute resolution (ADR) services, offers specialized protocols for resolving disputes involving smart contracts and blockchain technology. These protocols address coding errors, hacking, and issues with cryptocurrency transactions, including the theft or mysterious disappearance of substantial amounts of cryptocurrency, with an emphasis on fair resolution. The protocols are designed specifically for the unique challenges of blockchain and smart contract disputes. JAMS targets problems arising from technical failures or security breaches in decentralized systems. Coding errors in smart contracts, which can lead to unintended executions or fund locks, are among the issues covered by these ADR protocols. Hacking incidents that compromise blockchain networks or wallets are also addressed. Cryptocurrency transaction disputes form a key focus, particularly those involving the loss of assets through theft or unexplained disappearances. JAMS provides structured ADR processes for such cases. This service from JAMS caters to parties involved in blockchain-related conflicts, offering mediation and arbitration as alternatives to traditional litigation.

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02🇺🇸 US

1d ago

Florida Law Limits Legal Recognition of Smart Contracts and Prohibits Local Taxation

A new law grants smart contracts limited legal effect, specifying conditions under which they can be denied enforceability, while prohibiting local governments from imposing taxes on them. The legislation, as discussed in a Carlton Fields article, highlights the complexities and obtuseness of smart contracts in legal contexts. The article from Carlton Fields, titled “Smart Contracts” Are Mostly Obtuse, focuses on the nuances of this law, particularly its provisions related to the legal validity of smart contracts. It details the specific limitations that determine when a smart contract may lack legal effect. Background on the law includes restrictions aimed at balancing technological innovation with legal certainty. The legislation addresses key challenges in enforcing code-based agreements within traditional contract law frameworks. Involved parties implicitly include lawmakers who enacted the statute and local governments barred from taxation. No specific dates, deadlines, or named individuals are mentioned in the provided content. The law's broader context pertains to cryptocurrency and blockchain regulatory matters, aiming to provide clarity on smart contracts without fully equating them to traditional contracts. Regulatory bodies at the state level are central to its implementation.

1 sources

03🇺🇸 US

1d ago

Bluesky Post Claims Epstein Files Contain Information on Efforts to Block Crypto Regulation

A Bluesky social media post by user @eddwilson.bsky.social asserts that the Epstein files include substantial content about organizing to stop cryptocurrency regulation. This claim highlights potential connections between Jeffrey Epstein's associates and efforts to influence crypto regulatory policies, though no specific details or evidence from the files are provided in the post. The post references the 'Epstein files,' which are documents associated with the late financier Jeffrey Epstein, recently made public through court proceedings. Epstein was known for his extensive network among high-profile individuals in finance, politics, and technology. The allegation suggests that within these files, there is documentation of coordinated activities aimed at preventing or hindering regulatory oversight of the cryptocurrency industry. No specific parties, dates, or legal contexts are mentioned in the post regarding the alleged organizing efforts. The cryptocurrency sector has faced ongoing scrutiny from regulatory bodies such as the U.S. Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC), but the post does not link the Epstein files to any particular regulatory proposals or timelines. The claim originates solely from the Bluesky platform, with the post titled 'There's a lot in the Epstein files about organising to stop crypto regulation.' No further elaboration, supporting documents, or references to involved agencies, companies, or individuals are included in the provided content.

1 sources

04🇨🇳 CN

2d ago

Chinese Authorities Jointly Issue Notice Strictly Banning Virtual Currency Businesses and Mining

On February 6, eight Chinese authorities, including the People's Bank of China (PBOC) and the China Securities Regulatory Commission (CSRC), jointly issued the 'Notice on Further Preventing and Resolving the Risks Related to Virtual Currencies.' This notice explicitly declares that business activities related to virtual currencies, including mining projects, constitute illegal financial activities and are strictly prohibited and resolutely banned in accordance with the law. The joint notice was released by eight regulatory bodies, with the PBOC and CSRC highlighted among them, underscoring a coordinated governmental effort to address risks associated with virtual currencies. This action reaffirms China's longstanding position against virtual currency-related operations. The document, referred to as the 'Notice,' emphasizes the prevention and resolution of risks stemming from virtual currency activities. It categorically states that such businesses are deemed illegal financial activities, leaving no ambiguity in the regulatory stance. No specific timeline for implementation or additional deadlines were detailed in the notice, but the proclamation calls for resolute enforcement according to legal provisions. The involved parties include key financial and securities regulators, signaling comprehensive oversight across multiple sectors. This regulatory measure targets virtual currency businesses and mining projects specifically, aiming to curb associated financial risks through strict prohibition.

1 sources

05🇺🇸 US

2d ago

White House Hosts Crypto Meetings Amid Treasury, CFTC, and SDNY Regulatory Developments

The White House hosted cryptocurrency policy meetings, Treasury Secretary addressed implementation of the GENIUS Act, the Commodity Futures Trading Commission (CFTC) withdrew its Event Contracts Guidance and updated its stablecoin definition, and the Southern District of New York (SDNY) signaled a focus on prediction markets. These developments, reported by JD Supra, highlight ongoing regulatory attention to various aspects of the cryptocurrency sector. The White House convened meetings on cryptocurrency policy, involving key stakeholders in discussions amid broader U.S. government engagement with digital assets. Treasury Secretary addressed the implementation of the GENIUS Act, which pertains to cryptocurrency-related initiatives, signaling federal efforts to advance legislative frameworks in the space. The CFTC took two significant actions: it withdrew its prior guidance on event contracts and issued an updated definition for stablecoins, potentially affecting how these instruments are regulated and overseen. Meanwhile, the SDNY indicated a heightened focus on prediction markets, occurring alongside the CFTC updates and White House discussions, suggesting coordinated scrutiny on crypto-linked financial products.

1 sources

06🇺🇸 US

3d ago

Rosen Law Firm Launches Inquiry into Balancer Over Potential Securities Claims Following November 2025 Exploit

The Rosen Law Firm has launched an inquiry into possible securities claims against Balancer related to a significant breach that occurred on November 3, 2025. The inquiry alleges that Balancer disseminated materially deceptive business information to the public and its investors. Key parties involved include the Rosen Law Firm as the initiator of the inquiry and Balancer as the subject. No official outcomes or deadlines have been specified in the announcement.

1 sources

07🇺🇸 US

3d ago

CFTC Withdraws Prior Guidance Prohibiting Certain Event Contracts Including Prediction Markets

The U.S. Commodity Futures Trading Commission (CFTC) announced the withdrawal of its prior guidance that had prohibited certain event contracts, specifically including sports- and politically-related prediction markets. This action removes previous restrictions on these instruments, signaling a potential shift in regulatory approach toward such markets. Event contracts, such as those based on sports outcomes or political events, were previously barred under the withdrawn guidance issued by the CFTC. The agency, responsible for regulating derivatives and futures markets, made this announcement as part of ongoing efforts to address innovation in the cryptocurrency and derivatives space. CFTC Chairman Michael Selig commented on the decision, noting the agency's commitment to lawful innovation. The involved parties include the CFTC as the primary regulatory body overseeing these federally regulated derivative instruments. No specific dates or deadlines for further actions were mentioned in the announcement. This development occurs within a broader context of cryptocurrency regulatory updates, as referenced in related discussions involving the White House, Treasury Secretary, SDNY, and CME, though details on those were not provided in the article content. The withdrawal emphasizes prediction markets' status as derivative instruments under federal jurisdiction, potentially paving the way for clearer rules.

1 sources

08🇺🇸 US

6d ago

U.S. CFTC Signals Imminent Rulemaking on Prediction Markets Following Joint SEC-CFTC Summit

On January 29, 2026, SEC Chairman Paul Atkins and CFTC Chairman Michael Selig held a joint 'Project Crypto' summit. During the event, CFTC Chairman Michael Selig announced plans to support the responsible development of event contract markets. The announcement signals imminent rulemaking by the CFTC, with specific implications for prediction markets such as Kalshi and Polymarket.

1 sources

09🇺🇸 US

6d ago

CFTC and SEC Chairs Announce Shift to Harmonized, Rulemaking-Focused Crypto Regulation at Joint Event

At a joint Project Crypto Event, the chairs of the Commodity Futures Trading Commission (CFTC) and the Securities and Exchange Commission (SEC) signaled a new era of harmonization in cryptocurrency regulation. They emphasized rulemaking, principles-based oversight, and 'minimum effective' regulation as primary tools moving forward, explicitly moving away from retroactive enforcement. The chairs declared that an enforcement-only crypto policy is over at the federal level. The event, titled Project Crypto, brought together leaders from the two key U.S. regulatory bodies responsible for overseeing financial markets, including cryptocurrencies. The CFTC typically regulates commodities and derivatives, while the SEC focuses on securities, leading to past jurisdictional overlaps and conflicts in crypto matters. The chairs' statements highlight a coordinated approach to address these overlaps through proactive rulemaking rather than relying solely on enforcement actions against market participants. This principles-based oversight aims to provide clarity and predictability for the industry. This shift represents a broader impact on federal crypto policy, prioritizing regulatory frameworks designed to be minimally intrusive yet effective. No specific timelines or deadlines for new rules were mentioned during the event.

1 sources

10🇺🇸 US

6d ago

CFTC Staff Reissues Letter 25-40 with Limited Revision to Payment Stablecoin Definition

On February 6, 2026, the U.S. Commodity Futures Trading Commission's (CFTC) Market Participants Division announced the reissuance of CFTC Staff Letter 25-40, which includes a limited revision to the definition of 'payment stablecoin.' This update modifies the prior version of the staff letter. The CFTC's Market Participants Division is the division responsible for issuing the announcement and the reissued letter. CFTC Staff Letter 25-40 pertains to regulatory guidance relevant to derivatives markets, with the revision specifically targeting the 'payment stablecoin' definition. The reissuance was reported by Gibson Dunn & Crutcher LLP in their Derivatives, Legislative and Regulatory Weekly Update dated February 6, 2026. This action represents a targeted update to existing staff guidance from the CFTC, a key U.S. regulatory body overseeing commodity derivatives and related financial instruments.

1 sources

11🇨🇦 CA

1w ago

CIRO Introduces Temporary Tiered Standards for Cryptocurrency Custody in Canada

The Canadian Investment Regulatory Organization (CIRO) introduced temporary standards for cryptocurrency custody on February 3 or 4, 2026 (sources report slightly differing dates), establishing a tiered model for custodians based on factors including asset holdings, capital requirements, insurance coverage, and independent audit obligations. This regulatory measure targets entities under CIRO's oversight that handle cryptocurrency assets, aiming to ensure compliance, risk management, and client asset protection without specifying implementation deadlines. CIRO functions as Canada's primary self-regulatory organization overseeing investment dealers, mutual fund dealers, and trading activities in financial markets. The standards respond to the increasing integration of cryptocurrencies into mainstream financial services, focusing specifically on custody practices—the safekeeping of client digital assets—distinct from other asset classes. Under the tiered model, requirements are tailored to the scale and risk profile of custodians, with higher volumes of assets triggering stricter mandates for capital adequacy, insurance protections, and audits. This framework applies to CIRO member firms, including investment dealers and mutual fund dealers dealing in crypto, marking an initial step toward formalizing crypto custody within Canada's regulatory landscape. The temporary nature suggests potential evolution into permanent rules, amid broader Canadian efforts to address risks like security breaches and operational failures in the crypto sector. No conflicting details on the tiered structure were noted across sources, though one emphasized the specialized focus on custody while the other highlighted standardization. Expert opinions from Lowenstein Sandler LLP's 'Crypto Brief' (February 5, 2026) describe the rules as a significant step in formalizing oversight for crypto custody operations, timely amid global regulatory scrutiny and reflective of Canada's proactive approach to mitigating digital asset risks.

2 sources

12🇺🇸 US

1w ago

CFTC Chairman Announces New Rulemaking on Event Contracts

On February 5, 2026, CFTC Chairman Michael Selig stated in the Lowenstein Crypto Newsletter from Lowenstein Sandler that the 2024 event contracts proposal reflected prior administration policy. The CFTC plans to advance a new rulemaking on event contracts, grounded in the Commodity Exchange Act, to promote innovation in derivatives markets, including prediction markets.

1 sources

13🇺🇸 US

1w ago

SEC Dismisses All Proceedings Against American CryptoFed DAO

On February 2, 2026, the U.S. Securities and Exchange Commission (SEC) issued an Order Dismissing Proceedings against American CryptoFed DAO, recognized as the first Wyoming decentralized autonomous organization (DAO). The order formally and completely terminates all proceedings initiated by the SEC against the DAO. The SEC's announcement notes that substantial changes have occurred in crypto asset regulation since the events underlying the proceedings.

1 sources

11🇨🇦 CA

1w ago

CIRO Introduces Temporary Tiered Standards for Cryptocurrency Custody in Canada

2 sources