SEC Announces 2025 Examination Priorities, Spot Crypto ETFs Included

The US Securities and Exchange Commission (SEC) has revealed that spot crypto ETFs would come under its examination priorities next year. The Divisions of Examinations of SEC underlined its focus areas for 2025 which included distributed ledger systems, blockchain technology and cryptocurrencies.

SEC plans to assess the security protocols of blockchain technology along with their potential to damage crypto investors. The regulator will also concentrate on enforcing federal regulations on crypto market participants The agency wants to provide a detailed and clear regulatory oversight that encourages capital formation and protects investors and for that, it will be assessing how crypto companies tackle complex blockchain-related issues.

The regulator is not deterred by its legal hassles with crypto exchanges like Coinbase and Ripple as it gears up to take on crypto ETFs next. But unlike other years, the 2025 plan doesn’t want to suggest any changes on how to enforce the rules set by the SEC. The examinations will be a more compliant enforcement tool.

However, the outcome of the US elections will affect the SEC as its leadership and direction change. The two Presidential Elections candidates, Kamala Harris and Donald Trump have divergent views on crypto regulations. While Trump is more pro-crypto, Harris is more inclined to regulate the market. The former US President is a favourite of the crypto industry but Harris has also gained somewhat support courtesy of the new promises she has made.

At present, both sides are trying to show that they favour a crypto policy change by drawing in the support of industry leaders like Chris Larsen of Ripple. While Harris got a $10 million donation from Ripple’s founder, Trump has bagged $7.5 million in crypto donations from various sources. Based on how the US election goes and if Trump wins as per the forecast then the current SEC chairman Gary Gensler could be ousted, making way for another big name amidst a probable shift in policy.

Gensler has been criticised for his approach towards crypto regulations which resulted in SEC’s enforcement actions against crypto firms. However, the regular has repeatedly said that it acts to protect investors from potential risks.