SEC to Process Growing Filings by Crypto Issuers with Dedicated Desks
In light of the influx of filings from cryptocurrency issuers in the United States, the Securities and Exchange Commission (SEC) has decided to create two new offices this fall to provide expert support to the seven offices currently responsible for review issuer filings.
As part of the Corporate Finance Division’s Disclosure Review Program (DRP), the SEC has announced plans to add two offices – a Crypto Assets Office and an Industry Applications and Services Office – solely focused on crypto asset management and industrial applications and services, respectively. .
Sharing her perspective on the move, Renee Jones, Director of Corporate Finance Division, said:
“The creation of these new offices will allow the DRP to focus more on crypto assets, financial institutions, life sciences and industrial applications and services and will facilitate our ability to fulfill our mission.”
According to the announcement, the Office of Crypto Assets will take over DRP’s efforts to review crypto filings, allowing the department to refocus its resources “to address unique and evolving file review issues related to crypto assets.”
The Office of Industrial Applications and Services, meanwhile, will be created to take over non-pharmaceutical, non-biotech and non-medicinal products from the Office of Life Sciences.
Related: Brazil’s SEC seeks to change its role in cryptocurrency regulation
A recent SEC filing revealed MicroStrategy’s intention to sell $500,000,000 worth of Class A stock and reinvest the capital “for general corporate purposes, including the acquisition of Bitcoin (BTC)”.
MicroStrategy holds approximately 129,699 BTC, which has been amassed over several years at a total purchase price of $3.977 billion. With crypto prices not recovering, the company’s BTC reserves represent a loss of over $1 billion, as data from Bitcoin Treasuries shows.