Bitwise Compliance Officer Discusses SEC Developments Amid Cryptocurrency Changes

According to Odaily, Bitwise's Chief Compliance Officer, Katherine Dowling, highlighted significant developments in the cryptocurrency sector as January marked the end of SAB 121 and the introduction of U.S. President Donald Trump's cryptocurrency executive order. This period also saw the formation of a new SEC task force and a surge in cryptocurrency ETF applications, making it an opportune time for insider discussions. Dowling noted that one of the most notable changes compared to the Gensler era is the increased cooperation between the SEC and CFTC. Conversations between Bitwise and the SEC suggest that the cryptocurrency task force is "very sincere." Currently, Paul Atkins is the nominee for SEC Chair, while Mark Uyeda serves as the acting chair. Despite this, Dowling described the SEC as being in a "purgatory state," seemingly awaiting "top-level guidance" on handling lawsuits, including the case against Ripple. Dowling questioned whether the focus is on the right issues and if there is a settlement position that could satisfy both parties involved. She pointed out that some assets, such as SOL and XRP, are "trapped like dolphins in a fishing net," being classified as securities. The SEC needs to make some "concessions" to advance these ETF proposals. She hinted that a DOGE ETF might have a clearer path since the SEC has not classified DOGE as a security. Additionally, beyond the uncertainty of lawsuits and securities, there is the question of whether the SEC will require a "reasonably sized regulated market," historically achieved through CME-traded futures.