The SEC has formally scrapped several proposed crypto regulations that were served up under the former SEC chair Gary Gensler.
The proposed amendment to Rule 3b-16 of the Exchange Act Rule is one of the major rescissions.
This amendment would have required DeFi platforms to be registered with the SEC, which would have stifled crypto growth in the country and eventually pushed crypto startups offshore.
Read on to know more about the scrapped proposals and what the move could mean for the crypto industry’s growth.
We’ll also suggest the top altcoins to buy now to benefit from this development.
A Slew of Gensler-Era Proposals Tossed
The proposed changes to the Custody Rule (Advisers Act Rule 206(4)-2), which faced much backlash from the crypto community, have also been scrapped. These would have required investment advisors to hold crypto with ‘qualified custodians.’
Had the proposal gone through, it would have also meant that cold storage or hardware wallets to hold crypto would have become illegal.
Unlike traditional assets, there are very few qualified custodians for crypto assets. This would have ultimately discouraged crypto investments and added additional risks for advisors.
Similarly, the SEC also scrapped the Cybersecurity Risk Management Proposal for Investment Firms.
This would have required investment advisors, registered funds, and business development companies (BDCs) to have a written cybersecurity policy framework.
The proposed changes would have also required parties to file a report with the SEC within 48 hours of any breach.
Since crypto businesses are hot targets for cyberattacks (over $1.7B worth of crypto was stolen in 2023), this would have increased reporting burdens, which could have killed small crypto firms and startups.
SEC’s Pro-Crypto Stance Under Trump
Despite his earlier stance, Donald Trump has been vocal about his support for crypto.
Ever since his appointment, several pro-crypto regulations, such as the CLARITY Act, have come into discussion.
The CLARITY Act aims to provide clearer regulatory guidelines for cryptocurrencies and define the roles of the SEC and CFTC in overseeing the crypto market.
The SEC scrapping anti-crypto proposals in favor of pro-crypto alternatives signals better times ahead for the markets, so here are some of the best cryptos you should consider including in your portfolio right now.
1. Solaxy ($SOLX) – Top Altcoin to Buy Right Now, First-Ever Solana L2
As DeFi trading activity and volume increase in the coming months and years, utility tokens like Solaxy ($SOLX) could be at the center of the action.
This token aims to revolutionize Solana with cutting-edge scalability and cross-chain technologies.
Solana, in case you’re wondering, has been dealing with congestion and failed transactions ever since the $TRUMP and $MELANIA tokens overloaded it.
Solaxy’s master plan, therefore, is to build a brand-new L2 – Solana’s first true Layer 2 solution – which will offload the mainnet’s transactions onto a side chain, providing relief and improved efficiency.
Moreover, Solaxy will follow ‘optimized transaction bundling,’ which means it will execute transactions in bundles instead of one by one. This will further drive down Solana’s costs and improve its scalability.
The best part? Solaxy is still in presale, where it has raised a staggering $48.7M. You can buy $SOLX for just $0.00175 each right now, but hurry up because the presale wraps up in 3 days!
2. Bitcoin Hyper ($HYPER) – Revolutionizing Bitcoin with a New Layer 2 Solution
Similarly to how Solaxy aims to crank up Solana’s scalability and speed, Bitcoin Hyper ($HYPER) is a new meme coin on presale that aims to breathe new life into Bitcoin.
Did you know the Bitcoin blockchain can only process seven transactions per second? That’s so low it has overloaded the network and made it unfit for Web3 adoption.
Enter Bitcoin Hyper.
$HYPER will build the first Layer 2 on Bitcoin that will directly tackle the network’s scalability and performance issues.
It will do so by integrating with a decentralized, smart canonical bridge that will convert your $BTC from a Layer 1 asset to a Layer 2 asset.
The Layer 2 tokens it mints can be used for high-speed payments and swaps. They can also be used for lending and staking on NFT platforms, DeFi apps, and gaming dApps. This lets you do more with Bitcoin than just use it as a store of value.
And don’t worry; when you want your $BTC back, just request a withdrawal and your tokens will be converted into a Layer 1 asset again, transparently and securely.
The Bitcoin Hyper presale is alive and kicking. Just a few days in, it has already raised a handsome $1.1 M. Each token is currently available for just $0.011875, and here’s how to buy it.
3. Aura ($AURA) – Viral Meme Coin Based on a Social Media Phenomenon
One of the biggest buzzwords of the last few months, Aura, now has its own meme coin. And it’s probably one of the best cryptos to invest in now, given it’s up a brain-melting 21,000% in the last seven days, including 17% over just the past 24 hours.
After scrolling through countless TikTok videos and Instagram reels, seeing people gain and lose ‘aura,’ crypto degens finally have an appropriate outlet to show their love for this new phenomenon.
Of course, $AURA is a community-driven token without any real utility. That said, it does come with a unique meme generator, which token holders can use to generate +Aura memes and share them on social media for clout.
Grab it now for just $0.1868 before it goes on to make new all-time highs.
Top Altcoins Ready to Rocket Thanks to Government Support
All in all, the SEC’s rollback of restrictive DeFi rules is a major win for crypto, paving the way for greater adoption, investor confidence, and innovation, with tokens such as Solaxy and Bitcoin Hyper being examples of this.
However, the broader crypto market is highly volatile and unpredictable, which is why none of the above should be considered financial advice. Kindly do your own research before investing.
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