A commissioner at the US Securities and Exchange Commission (SEC) has criticized his agency’s approach to cryptocurrency asset disclosure rules, calling it outdated and out of date.

On Monday, July 1, the SEC Commissioner Mark Uyeda posted a statement on its official website. The official claimed that the disclosure forms required by the Registered Indexed Annuity Act (RILA) for crypto companies encourage crypto companies to submit irrelevant data that does not reflect the level of risk to investors.

“Most crypto assets have unique characteristics for which traditional SEC reporting forms are not applicable. The current format technically requires crypto companies to provide information that is not relevant in advance, while not reflecting truly meaningful and material data. Consideration should be given to allowing deviations from the established forms, similar to the system that exists for investment funds, insurance companies, and issuers of other securities products,” Uyeda wrote.

Commenting on the SEC Commissioner’s statement, Alexander Grieve, head of government affairs at cryptocurrency venture firm Paradigm, wrote
on the X network, that in his memory this is the first time that an SEC commissioner has departed from conservative regulatory principles and formally called for a special disclosure regime for crypto assets.

In January, Mark Uyeda became one of two SEC commissioners to publicly support the launch of a spot bitcoin ETF.