The SEC commissioner solicits opinions from the market regarding issues related to trading crypto assets on national securities exchanges

On December 17, SEC Commissioner Hester Peirce issued a statement, in conjunction with the latest release of a set of FAQs by the Division of Trading and Markets, seeking broad input from the market on issues related to trading cryptocurrency assets on the National Securities Exchange (NSE) and Alternative Trading Systems (ATS).

The statement focuses on the trading and clearing arrangements for cryptocurrency asset securities and "securities - non-securities cryptocurrency asset" trading pairs. Peirce noted that SEC staff are prepared to work with market participants to facilitate compliant trading of trading pairs on regulated platforms.

Peirce pointed out that the current market urgently needs clearer market structure rules to protect investors and maintain market order while avoiding unnecessary regulatory burdens on innovation. She specifically highlighted whether Regulation ATS (introduced in 1998) and Regulation NMS have become outdated in the context of cryptocurrency assets and blockchain technology. The core issues for public comment include:

• How to lower the entry barriers for cryptocurrency asset securities and trading pair platforms to encourage innovation
• Whether the current Reg NMS and Reg ATS impose disproportionate compliance costs on cryptocurrency trading
• Whether there is a need to establish a dedicated Form ATS for "crypto ATS" or adjust existing disclosure requirements
• Whether the information disclosure for crypto ATS should remain non-public or introduce SEC review or public mechanisms
• In the context of blockchain and on-chain data traceability, whether it is necessary to retain the Form ATS-R quarterly filing requirement
• Whether there is a need to clarify compliance methods for converting non-U.S. dollar assets to U.S. dollars
• How to handle requirements for confidentiality of trading information, system risk controls (Rule 15c3-5), and system compliance (Reg SCI)
• How to avoid hindering individuals from developing software and using automated or decentralized methods for trading in regulation

Peirce emphasized that these questions will serve as important references for the SEC's cryptocurrency working group's subsequent policy formulation, and the regulatory agency is also willing to hear broader suggestions to improve the regulatory framework for NSE and ATS as a whole. The statement is seen by the market as another signal of the SEC's relatively open attitude towards reforming the market structure for cryptocurrency asset trading.