Bitwise and Hyperliquid Split on Disclosures as SEC Crypto…
By Abdelaziz Fathi
AI summary of the source article
Bitwise Asset Management and Hyperliquid Policy Center urged the US SEC to revise its proposed Regulation Crypto Assets rules, presenting divergent views on token classification, issuer disclosures, and secondary-market trading.
Why it matters
For cryptocurrency exchange-traded products, "uncertainty surrounding an underlying token's legal treatment can affect fund eligibility, compliance expenses and potentially continued product operations."
Key facts
- The SEC's proposed rules establish registration exemptions of up to $5 million over four years and up to $75 million within a 12-month period, alongside a conditional safe harbor.
- Bitwise urged requiring issuers to publish detailed analysis with Form TR filings, whereas Hyperliquid argued mandatory public analysis could expose developers to litigation.
- Former SEC official John Reed Stark and scholar Lee Reiners called for the proposal's complete withdrawal, arguing the SEC lacks statutory authority for the exemptions.
Source excerpt · FinanceFeeds
Bitwise Asset Management and the Hyperliquid Policy Center have urged the US Securities and Exchange Commission (SEC) to revise its proposed cryptocurrency rules, exposing disagreements over token classification, issuer disclosures and secondary-market trading as the public comment period closed on October 20.In separate October 19 submissions, both organizations supported greater regulatory certa…