SEC Holds Meeting with Solana MEV Developers Regarding Cryptocurrency Regulatory Issues
Let's Talk Crypto Regulation
Now, here's a hot scoop! The SEC's Crypto Task Force recently grilled one of the leading Solana MEV infrastructure companies, Jito Labs. They also had a heart-to-heart with Blockworks, a popular crypto research and media firm. What's the gist? Transparency. Both Jito Labs and Blockworks have come up with a plan aimed at crystal-clear communication for token issuers and market makers, and means to boost investor confidence and market integrity in crypto trading.
But that's not all! Just yesterday, on June 12, the SEC got an earful from a Solana-backed gang, including Solana Labs, Phantom, Superstate, Orca Creative, and numerous legal eagles. They've concocted a scheme known as "Project Open." It's a daring move to allow equity securities to be issued and traded exclusively on public blockchains like Solana.
So, what's Project Open all about? It proposes a regulatory sandbox where digital securities, or "Token Shares," can be listed and traded on blockchains like Solana. The handbasket includes KYC-verified digital wallets, smart contract trading, and zippy settlements without old-school clearing delays. To protect investors, the program also includes a course on the intricacies of crypto trading. The scheme is planned to last for 18 months and will be regulated by the SEC.
There's room for public comment during Project Open's run. Now, the SEC hasn't made any final decisions on this proposal yet. But it's worth noting that these meetings suggest that the agency is more interested in getting down with tech builders rather than talking shop with lawyers. The openness to blockchain-based infrastructure for securities is growing. Applications such as Jito's MEV system might just be the key to decentralized, yet compliant finance.
But, hold on! There's no official update on Project Open's status, so don't take this as gospel until the SEC makes a formal announcement. If you're keen to learn more, it's best to check out the SEC's latest announcements or get in touch with the folks directly involved in Project Open.
Don't forget to check out our other article: Solana Price Set to Tackle $189 Again with New SOL ETF Filing
- The SEC's interest in blockchain-based infrastructure for securities is growing, as shown by meetings with companies like Jito Labs, which develops Solana MEV systems, and Solana Labs themselves, as part of the "Project Open" initiative.
- Project Open, a proposal by Solana-backed entities, aims to allow equity securities to be issued and traded on public blockchains, such as Solana, with features like KYC-verified digital wallets, smart contract trading, and swift settlements.
- If successful, projects like Jito's MEV system could pave the way for decentralized, yet compliant finance businesses and potentially lead to the creation of new Solana-based Exchange Traded Funds (ETFs).
