The argument that the new Administration is diminishing the reputation of the SEC is tough to make when the former Administration suffered an unprecedented run of defeats in court for exceeding its legislative authority and for failing to comply with procedural requirements.  

In these remarks, Chair Atkins and Commissioner Peirce articulate a critical philosophical approach that stands in sharp contrast to the one taken by the previous administration. It is an important change and one for the better. There was hardly a rule adopted under SEC Chair Gensler where the economic justification did not seem a complete pretense for imposing more regulation. Take, for example, the SEC's analysis of the costs of the expansion of dealer registration (which has since been…

While many of the punishments imposed by the SEC and FINRA may seem excessive (for example, fines imposed for recordkeeping violations that did no harm), it sometimes seems that the punishments imposed on individuals who do actual damage to retail customers are too lenient. Query: what possible justification can there be for misstating a customer's objectives? Why should the punishment be less than it would be for outright theft of the client's money?

The new FAQ is quite meaningful, insofar as it permits broker-dealers to participate in the creation of ETPs that hold crypto. It also gives ready market capital treatment to bitcoin and ether, subject to a 20% haircut.  

By contrast, the 2019 SEC Joint Statement on custody—and its withdrawal—are not particularly meaningful, since the Statement was wholly impractical to implement and few firms—if any—relied on it. The 2019 Statement served more as a pretense for the former…