Perspectives and insights from Mayer Brown lawyers and other thought leaders that touch on digital assets, decentralized finance, cryptocurrencies and related fields.
FINRA’s 2024 Annual Regulatory Oversight Report Features New Sections on Crypto Asset Activities
On January 9, 2024, the Financial Industry Regulatory Authority, Inc. (“FINRA”) published its Annual Regulatory Oversight Report (the “Report”), which this year included new content relating to crypto assets. The Report sets forth various considerations for firms seeking to engage in crypto asset-related activities, including a firm’s obligations under the SEC’s financial responsibility rules (including the customer protection rule), as well as surveillance themes and effective practices. In our Legal Update on the Report, our team highlights key points from the Report and offers their insights on compliance.
FINRA Update on Targeted Exam Regarding Crypto Asset Communications – Potential Violations in 70% of Retail Communications Reviewed
On January 23, 2024, FINRA highlighted shortcomings in the communications practices of member firms with retail customers concerning crypto assets. In particular, FINRA noted potentially substantive violations of its communications rules in approximately 70% of the communications it examined, which included communications concerning crypto assets. In this Legal Update, our team describes some of the practices that could run afoul of FINRA rules and other FINRA guidance on communications regarding crypto assets.
