The U.S. Securities and Exchange Commission (SEC) has announced that it will streamline the application process for investment firms, which could lead to accelerated "more efficient" cryptocurrency and blockchain companies. and less expensive ”.

In a July 6 announcement on the SEC's website, the Commission said it had voted to adopt rule changes for an expedited review process for companies under the Companies Act. 'investment. In addition, the SEC has referred to a “new informal internal procedure” for any other request that does not qualify for this expedited process. 

The announcement said it had made the changes for a "more efficient" application process and to provide "additional certainty and transparency". The SEC has said that granting such exemptions could provide "significant economic benefits to the funds and their shareholders".

"The application process under the Investment Company Act is an important part of our regulatory structure," said SEC President Jay Clayton. "The changes approved today will modernize and streamline this process, which will translate into greater transparency, lower costs and more efficient use of our staff resources."

Under the rules of the Investment Company Act of 1940, any business applying for SEC registration faces a number of challenges in operating legally. The SEC has declared that these changes will take effect 270 days after their publication in the Federal Register.

Faster for crypto funds?

The Commission has been very hesitant to approve Bitcoin exchange-traded funds (ETFs) , including that of New York-based WisdomTree. Arca Labs, running its ArCoin on the Ethereum blockchain , has speculated that no platform would be available to trade its fund via a major stock exchange registered with the SEC.

Under the new changes, funds, including wire transfers, which have required an exemption from the SEC to operate, could benefit from an expedited review. The fund should file a third request "essentially identical" to the other persons benefiting from an exemption within three years. 

The SEC has stated that in this case, the Commission will notify an applicant within 45 days of the filing date, provided that the company responds within 30 days. 

It would appear that the process for considering a typical SEC filing for IPO involves three rounds of investigation and takes between one and two months. In January, Grayscale Bitcoin Trust became the first vehicle for SEC-compliant digital assets after its application in November.