BTC PULSE
No Result
View All Result
Play Now
No Result
View All Result
BTC PULSE
No Result
View All Result
Play Now
Home Blockchain

SEC Revokes Crypto Guidance SAB 121 Amid Industry Applause

by Darius Ngetich
Jan 24, 2025 - 8:49 pm
in Blockchain
png 245

SAB 121 Faces Industry Pushback

SAB 121 made the banks consider digital assets to be liabilities in their balance sheet. Many described that approach as stifling innovation with added regulatory hurdles. Wyoming Senator Cynthia Lummis termed the rule “catastrophic,” blaming it for choking the evolution of digital assets inside the United States’ geographical confinities. Circle CEO Jeremy Allaire also blasted this bulletin, hailing it “punitive” to financial institutions and corporations holding crypto assets.

Introduced under the leadership of former SEC Chairman Gary Gensler, SAB 121 drew sharp criticism from them Commissioner Hester Peirce, who called it a “pernicious weed” in April 2024. Peirce reasoned that a regulation with such wide-reaching ramifications should be decided by the Commission as a whole, and not staff only reporting to the Chairman.

SEC Announces SAB 122

On January 23, 2025, the SEC replaced SAB 121 with SAB 122, rescinding the prior guidance. The new bulletin removes the requirement to record crypto holdings as liabilities, instead deferring to broader accounting standards for assessing safeguarding risks. Them made it clear that entities must apply these changes retrospectively for annual periods beginning after December 15, 2024.

SEC Secretary Vanessa A. Countryman announced the repeal as a significant policy shift. Commissioner Hester Peirce chimed in on the action on X: “Bye, bye SAB 121! It’s not been fun.”

Political and Industry Reactions

Efforts to overturn SAB 121 began in 2024 when lawmakers voted to rescind it. However, then-President Joe Biden vetoed the resolution, defending the rule as a reflection of the SEC staff’s “considered technical” judgment. Critics like Senator Lummis said the decision stunted innovation, while Allaire predicted its eventual repeal as necessary for progress.

A Turning Point for Crypto Regulation

The repeal of SAB 121 marks a sea change in how the SEC approaches cryptocurrency oversight. Hester Peirce, long an advocate for collaborative rule-making, said transparent, commission-led decisions are important.

With SAB 121 now gone, the crypto industry expects fewer regulatory hurdles that may open the door to wider use of digital assets among financial institutions. The change marks momentum building toward balanced crypto regulations in the United States.

Tags: RegulationSECWeb3
Darius Ngetich

Darius Ngetich

Darius Ngetich is a blockchain, crypto, and gaming enthusiast. He is also an animator, VFX Artist, and Game Developer, specializing in computers with vast experience in programs like Blender, Unity, and Unreal Engine. My passions are creating games and informing others about the latest developments in crypto, blockchain, and gaming.

Related Posts

Exterior view of the Czech National Bank building in Prague, symbolizing the institution’s financial strategies and innovation.

Bank of England Governor Says Stablecoins Could Reduce Reliance on Banks

October 1, 2025

Andrew Bailey says stablecoins could reduce UK reliance on commercial banks by separating money from credit, signaling a...

blockchain

Spacecoin Executes First Blockchain Transaction Through Space

October 1, 2025

Spacecoin has achieved the first-ever blockchain transaction through space using a nanosatellite, marking a milestone for decentralization and...

The headquarters of the Autorité des Marchés Financiers (AMF) Investor in Paris, France, the regulatory body warning investors against ByBit.

French Officials Pressured Telegram to Censor Moldova Election Posts: Durov

September 28, 2025

Pavel Durov revealed French intelligence pressured Telegram to censor Moldova election content in 2024, which he refused, citing...

Wall Street financial district with Bitcoin symbol representing institutional adoption

Bitcoin skepticism fades as nations gear up for adoption, says Samson Mow

September 28, 2025

Samson Mow predicts nation-states will move from skepticism to rapid Bitcoin adoption, fueling global FOMO and a rush...

View All
BTC-Pulse LogoTransparent

© 2024 BTC-PULSE. Disclaimer: The content is for informational purposes only, you should not construe any such information or other material as legal, tax, investment, financial, or other advice.

Info

  • Learn
  • Price Prediction
  • Events
  • Press Releases
  • Sitemap

Company

  • About Us
  • Terms of Service
  • Privacy Policy
  • Contact Us
  • Advertise

News

  • Altcoins
  • Bitcoin
  • Ethereum
  • NFT
  • Regulation
  • WEB 3.0

©2024 BTC-PULSE – All right Reserved.

No Result
View All Result
  • About Us
  • Advertise
  • BTC-PULSE
  • Contact Us
  • Events
  • Privacy Policy
  • Sitemap
  • Terms of Service