SEC statement clarifies regulatory boundaries for encrypted trading interfaces: broker licenses may be waived in specific scenarios According to a report by Golden Finance, the US Securities and Exchange Commission (SEC) Trading and Markets Department has issued a staff statement providing guidance on whether some covered user interfaces used to generate cryptocurrency securities trading instructions need to be registered as brokers. The statement states that under certain conditions, such interface providers may not need to register as broker dealers under Article 15 of the Securities and Exchange Law. These conditions include: not actively soliciting specific trades, not providing investment advice, not controlling or executing trades, generating trading instructions based solely on objective parameters, and fully disclosing fee structures, potential conflicts of interest, and related risks to users. The SEC emphasizes that such interfaces typically exist in the form of websites, browser plugins, or wallet applications, used to convert user set transaction parameters into on chain executable instructions, while providing market data such as prices, paths, and fees. This type of exemption does not apply to activities such as participating in matchmaking transactions, fund custody, order routing, or providing investment advice. The relevant guidance is a phased opinion, and if no further action is taken, it will automatically expire after five years from April 13, 2026. This move aims to provide a clearer regulatory framework for activities related to cryptocurrency securities and continuously solicit market feedback.