Chief Legal Architect and a co-founder of Caffrey.AI
Steven Lofchie is the Chief Legal Architect and a co-founder of Caffrey.AI, an AI platform built for law firms, banks, and the financial regulatory industry. He is also a partner at Norton Rose Fulbright, where he advises financial institutions on securities laws, the Commodity Exchange Act, and broker-dealer regulation. Ranked by Chambers USA every year since 2007, he is the author of “Lofchie’s Guide to Broker-Dealer Regulation,” long considered the leading treatise on the subject.
Recent Articles & Comments
Mr. Steil's statement, similar to Senator Warren's (see above), goes to the question of regulatory authority.
Senator Warren asks why the regulators do not discourage cryptocurrency investments, even in the absence of legislative authority to do so. Mr. Steil asks why, under the prior Administration — and without authority — the regulators (particularly the CFPB) seemed to discourage products such as Earned Wage Access, as they appeared to act out of a policy belief that any…
Whether it is good public policy to allow retirement savings to be invested in cryptocurrencies is a fair question, but it is not a question for the SEC, which does not regulate retirement accounts. It is not even a question for the Department of Labor in the sense that the DOL does not have authority under ERISA to prohibit such investments.
If Senator Warren believes that it is bad public policy to allow the assets of retirement plans to be invested in cryptocurrencies…
What about Saturday and Sunday? AI algorithms do not sleep.
Note that the relief given applies to the conduct of securities counts, an internal audit function. It does not directly address the sending of statements to customers, which is pursuant to FINRA, not SEC, rules. Presumably, FINRA has also signed off on the procedures.