The SEC's new proposal could completely change how crypto is regulated. Here's how.

00:00 Speaker A

We have a massive monster humongous tremendous story today that dropped unexpectedly.

00:06 Speaker A

You guys know the the Biggie song, Kick in the door, I drop unexpectedly like Burj can't say that word. But this is what happened with the SEC reg crypto that we've been waiting for.

00:15 Speaker A

So I reported to you last week that there was supposed to be a meeting on Friday to discuss and vote on the SEC's regulation crypto and it was unexpectedly canceled on Thursday night with no rescheduling and people thought it was dead.

00:30 Speaker A

Oh, Paul Atkins was trolling you.

00:34 Speaker A

He is the commissioner, the head of the SEC and he dropped this yesterday. A lot of this echoing the ideas we've had from Hester purse for years. So this is what it does. This is the SEC's proposing its first

00:48 Speaker A

permanent crypto specific fundraising rules. They are going ahead without the clarity Act. They know that this thing probably isn't passing and it's time for the SEC to step in and start to make rules.

01:00 Speaker A

So, there's some wild things in here. First of all, the one I want to dig into the most. There's a startup exemption. 5 million dollars total over four years, you're allowed to raise for a token simply by presenting a white paper.