SEC and CFTC advance regulatory actions after CLARITY Act stall
CIE News ·
Following the stall of the CLARITY Act, US regulators are pressing ahead with digital asset rulemaking, with researcher SMQKE projecting joint rules could be finalized between late 2026 and 2027.
Following the stall of the Digital Asset Market Clarity Act in a Senate vote on September 15, 2026, the Securities and Exchange Commission and the Commodity Futures Trading Commission are using existing statutory authorities to shape crypto rules. According to finance.biggo.com, a timeline circulated by researcher SMQKE projected that the agencies would finalize harmonized regulations on custody and token classification between late 2026 and 2027, with full compliance by early 2027 when an 18-month grace period expires. However, that schedule assumed a legislative path that failed to pass Congress.
Even without new legislation, the agencies have continued rulemaking independently. On September 17, 2026, the SEC introduced the Innovation Exemption framework, while the CFTC extended a no-action position for passive software providers. XRP is one of 16 digital assets classified as commodities under a joint SEC and CFTC interpretation finalized in March 2026, placing it under the scope of custody and classification standards.
In early October 2026, the SEC proposed updated custody rules for registered investment advisers and regulated funds under federal securities laws. The proposal permits crypto assets to be held in self-custody under specific conditions and authorizes the use of state trust companies as custodians. The SEC's public comment period remains open for 60 days following publication in the Federal Register.