SEC drops to 2 members, and 1 hidden rule shifts crypto power

Peirce’s resignation letter, dated Sept. 21, made her departure effective Oct. 2. The current commissioner roster, updated Oct. 3, lists Chairman Atkins and Commissioner Uyeda. The SEC’s historical service table also records Peirce’s tenure ending Oct. 2.

Custody reform and a new offering regime remain proposals, while tokenized-stock trading relief is already an issued conditional order. With the roster reduced to two members, further Commission-level decisions rest with a smaller body, subject to the rules and legal limits governing each action.

The quorum amendment, dated Sept. 30 and effective Oct. 2, changes 17 CFR 200.41, the rule defining how many commissioners must be eligible to conduct Commission business.

The existing vacancy exception already allowed the number of commissioners in office to constitute a quorum when fewer than three were serving. Two filled seats did not prevent the SEC from operating, and that exception already covered even a Commission with only one sitting member.

Previously, the separate provision for disqualifications accommodated two eligible commissioners after others were disqualified. The amendment extends that provision to one eligible commissioner, for the matter concerned, when every other member in office is disqualified.