This action is the direct result of the SEC's failure to develop any workable regulatory scheme for the regulation of cryptocurrencies or to push for legislation that would have provided for such development. It is ironic that the SEC's failed, heavy-handed enforcement scheme should now potentially lead to the possibility of a complete rejection of federal regulation.

In the long run, some type of workable federal regulation of cryptocurrencies is a necessary and desirable outcome.…

The advice to broker-dealers that they should caution young investors not to rely on unvetted advice is somewhat ironic.

When Regulation Best Interest was adopted, we raised concern that the effect might be the opposite of what was intended. That is, by making it impractical for broker-dealers to provide recommendations to clients with less net worth, the result would be that these investors would be forced to seek advice from wholly unregulated intermediaries, and the end result…

The SEC's attempt to rewrite the Advisers Act comes to a rather pedestrian ending. Perhaps lessons will be learned.

Coming off this loss on the private fund adviser rules, the SEC is facing further challenges to a good number of its other recently adopted rules. Under the current circumstances, the SEC should seek a stay to these challenges until after the change in Administration to allow the next SEC Chair to decide whether to continue to defend these rules.  

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The election should result in significant changes at the SEC, including a change in culture to one that is consistent with the founding mission of the organization; i.e. to require the provision of adequate disclosure to investors, and then to allow investors to make their own decisions.