ME News reports that on August 14 (UTC+8), former SEC staff member Anne Kelley stated that even if the CLARITY Act passes smoothly, the SEC and CFTC will still need to draft implementing regulations, a process that will take at least several months and will not take immediate effect. Kelley noted that the SEC’s upcoming public meeting on tokenization innovation exemptions is only the first step in the proposed rulemaking process, with further steps such as public comment periods still required. Formal rules with legal enforceability must comply with the U.S. Administrative Procedure Act (APA) to ensure they can withstand judicial review. If the CLARITY Act passes during the rulemaking period, regulators do not need to restart the process; they can amend existing proposals by issuing a Supplemental Notice of Proposed Rulemaking (SNPRM) and continue moving forward. Kelley cited the GENIUS Act as an example, noting that although it was passed a year ago, it has yet to be fully implemented, partly because developing accompanying regulations takes time. (Source: ODAILY)
Former SEC Employee: It Will Take Several Months to Develop Implementation Rules After the CLARITY Act Passes
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Summary
On August 14, former SEC employee Anne Kelley said it will take several months for the SEC and CFTC to draft rules for the CLARITY Act. She emphasized the need to comply with the U.S. Administrative Procedure Act to avoid legal challenges. The public meeting on tokenization is just the beginning, followed by comment periods. If the bill passes, regulators may issue an SNPRM to refine the proposals. Kelley cited the GENIUS Act as an example, noting its slow progress. Risk-on assets could face delays due to CFTC compliance requirements during the rulemaking process.
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