SEC, NASDAQ, and FATF join forces

In recent months, a number of companies in the US stock market have been frantically buying cryptocurrencies, with market valuations soaring.

Now NASDAQ has tightened regulations, mandating the disclosure of cryptocurrency buying plans and risks, with non-compliant companies potentially facing trading suspensions or delistings.

The US SEC established a cross-border special task force on September 5, focusing on overseas listings, market manipulation, and behind-the-scenes accomplices, threatening to pursue fraud across borders.

The FATF chairman stated that criminals are frequently using cryptocurrencies and shell companies to transfer funds, and countries must disclose actual controllers, or they will be placed on the gray list.

The signals sent by these measures are very clear: the US and global regulatory authorities are ramping up enforcement, targeting large-scale cryptocurrency holding companies and high-risk financial structures.

In my view, this regulatory storm is actually a correction of market chaos. In the past few quarters, the wave of DAT (Digital Asset Treasury) swept through, with 154 publicly listed companies in the US stock market intensively financing cryptocurrency purchases, totaling nearly $100 billion, creating a once-booming scene. Now that regulation has taken action, it serves as a reminder: you have been playing too aggressively, it's time to clarify things.

For investors, this is a positive sign. Companies that truly have business logic and are willing to build long-term can stand out during the reshuffle; those that rely solely on speculation, even harming their core business, will inevitably be halted.

Looking at the entire cryptocurrency industry, compliance is an unavoidable path. Regulation is not meant to stifle innovation but to build a more solid foundation for the industry. Whether it’s NASDAQ's transparent disclosure requirements, the SEC's cross-border anti-fraud actions, or the FATF's warnings about shell companies, it may increase costs in the short term, but in the long run, only truly capable companies that can continuously innovate will go further.

Without these institutional protections, in the future, it won't be just about attracting institutional investors; even ordinary investors will shy away due to excessive risks.