ChainThink report, August 19: According to Cointelegraph, the U.S. Securities and Exchange Commission (SEC) has proposed new regulations for crypto asset oversight, aiming to establish a clearer applicable framework for specific crypto investment contracts in the absence of congressional passage of the CLARITY Act.

Under the proposal, the new rule would provide a safe harbor, exempting qualifying token issuances from being classified as "investment contracts."

Crypto firms may issue tokens up to $5 million over a four-year period, or up to $75 million within a 12-month window, while enjoying exemption. Issuers must submit financial statements and comply with ongoing reporting requirements.

Following publication in the Federal Register, the proposal will enter a 60-day public comment period. SEC Chair Paul Atkins stated that legislation remains indispensable for establishing "forward-looking" crypto regulatory frameworks.