Introduction
US lawmakers are urging the Securities and Exchange Commission (SEC) and the Financial Industry Regulatory Authority (FINRA) to approve Prometheum?s application for broker-dealer registration. Prometheum is a blockchain-based securities platform that aims to provide a more efficient and transparent way to trade securities.
Background
Prometheum filed an application for broker-dealer registration with the SEC and FINRA in 2019 but has yet to receive approval. The company has faced some regulatory hurdles due to the unique nature of its blockchain-based platform. However, US lawmakers are now pressuring the SEC and FINRA to approve Prometheum?s application so that it can move forward with its plans.
Lawmakers? Push for Approval
On June 23, 2021, four US lawmakers sent a letter to the SEC and FINRA urging them to approve Prometheum?s application for broker-dealer registration. The lawmakers argued that Prometheum?s platform has the potential to provide significant benefits to investors and the securities industry as a whole.
The letter stated, ?Prometheum has developed a compliant, blockchain-based platform that has the potential to provide significant benefits to investors, such as reduced trading costs and increased transparency, while also improving the efficiency and resiliency of our capital markets.?
The lawmakers also noted that the SEC and FINRA have been supportive of blockchain-based innovation in the past and urged them to continue this trend by approving Prometheum?s application.
Prometheum?s Response
Prometheum CEO Aaron Kaplan expressed his appreciation for the lawmakers? support in a statement. He said, ?We are grateful for the support of these lawmakers who recognize the potential of our platform to improve the efficiency and transparency of securities trading. We look forward to continuing to work with the SEC and FINRA to bring our platform to market.?
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Conclusion
US lawmakers are putting pressure on the SEC and FINRA to approve Prometheum?s application for broker-dealer registration. The lawmakers believe that Prometheum?s blockchain-based platform has the potential to provide significant benefits to investors and the securities industry as a whole. Prometheum CEO Aaron Kaplan expressed his gratitude for the lawmakers? support and looks forward to working with the SEC and FINRA to bring the platform to market.
