• Wolters Kluwer Financial Services Banner Image

  • Wolters Kluwer Publishes White Paper Explaining SEC Guidance on Cryptocurrency, Other Digital Asset Trading Platforms

    May 02, 2018

    Investors Should Proceed with Caution in Evolving Regulatory Landscape

    Wolters Kluwer today announced the release of a new white paper, “SEC Warns Cryptocurrency Trading Platforms Raise Significant Federal Securities Laws Compliance and Liability Risks.” The white paper examines recent Securities Exchange Commission (SEC) guidance that some online trading platforms may not be registered with the SEC, meaning related protections and SEC oversight would not be available.

    According to the white paper, investors and other market participants need to be aware that not all cryptocurrencies and blockchain-related assets are the same. With no bright line distinction, market participants need to proceed with caution to avoid the unexpected application of federal securities laws to each particular cryptocurrency or cryptocurrency-like asset, including Initial Coin Offerings (ICOs).

    More specifically, the white paper examines the SEC’s public statement entitled, “Statement on Potentially Unlawful Online Platforms for Trading Digital Assets.” In addition, the white paper provides analysis of the following:

    • What is a security for SEC purposes?
    • Does the SEC consider cryptocurrencies or other tokens to be securities?
    • What are the risks of commodity regulation for cryptocurrency and digital asset platforms?
    • What is the industry and community response to this guidance?

    “In light of how rapidly the cryptocurrency and cryptocurrency-related markets change, both investors and participants should proceed carefully given the recent warnings issued by the SEC and the Commodities Futures Trading Commission,” said Stevie Conlon, Vice President and Regulatory Tax Counsel for Wolters Kluwer. “The purpose of this white paper is to alert investors and participants to recent SEC guidance regarding risks concerning certain cryptocurrency exchanges and offerings under federal securities law.”

    Download the white paper: “SEC Warns Cryptocurrency Trading Platforms Raise Significant Federal Securities Laws Compliance and Liability Risks.”

    About Wolters Kluwer Governance, Risk & Compliance 

    Wolters Kluwer Governance, Risk & Compliance (GRC) is a division of Wolters Kluwer which provides legal, finance, risk and compliance professionals and small business owners with a broad spectrum of solutions, services and expertise needed to help manage myriad governance, risk and compliance needs in dynamic markets and regulatory environments. 

    Wolters Kluwer N.V. (AEX: WKL) is a global leader in information services and solutions for professionals in the health, tax and accounting, risk and compliance, finance and legal sectors. Wolters Kluwer reported 2017 annual revenues of €4.4 billion. The company, headquartered in Alphen aan den Rijn, the Netherlands, serves customers in over 180 countries, maintains operations in over 40 countries and employs 19,000 people worldwide.

  • Media Contacts

    Lisa Glover
    Vice President, Global Marketing, Communications and Planning, Wolters Kluwer Governance, Risk & Compliance
    (001) 212-894-8832

    Paul Lyon
    Director of Global Corporate Communications – Banking & Regulatory Compliance
    (44) 20-7539-6575

    Erica Glass
    Director, Global Corporate Communications – Legal Solutions
    (001) 212-894-8940