The Securities and Exchange Commission (SEC) of the United States announced that it is modernizing its filing fee disclosure and payment methods to a new system that would require operating companies and investment firms and exchanges, to “pay filing fees when engaging in certain transactions.”
According to the SEC's official press release on the subject, the changes will also include additional alternatives for Automated Clearing House (ACH) and debit and credit card payment of filing costs.
This means that crypto businesses that deal with and perform these similar services may suffer greater fees, resulting in higher servicing costs for customers and typical crypto users.
“The Commission voted unanimously to modernize how filing fees are reported, calculated, and paid. I am pleased to support this final rule. These updates, which will be phased in over the coming years, will make the filing process faster, less expensive, and more efficient for SEC staff and market participants.” said SEC Chair Gary Gensler.
Payment technology companies such as PayPal, Mastercard, and now Stripe are looking at blockchain technology for usage on their payment networks.
The fact that the SEC is modernizing its payment mechanisms for filings also demonstrates how governments are attempting to catch up with crypto, enacting rules on a constantly developing technology.
SEC Commissioner Hester Peirce stated at the Texas Blockchain Summit:
“Because crypto is built on code, the code itself serves as a governor of conduct. But crypto is built on people too, and these people hold each other accountable not only through unbridled public discourse but through using or not using a protocol.”
This new approach will have a big influence on crypto businesses since it will involve greater regulatory monitoring on registered securities offerings, tender offers, and mergers and acquisitions.
As the crypto sector evolves and expands, more and more collaborations between enterprises and decentralized organizations occur to connect the space's functions and services.
Stricter regulatory monitoring of financial technology and crypto businesses is on the horizon, thanks to the SEC's latest modification to its filing fee disclosure and payment methods.