#SECGuidance What is SEC Guidance?

SEC Guidance refers to the instructions or advisories issued by the Securities and Exchange Commission (SEC) to help investors, companies, and financial institutions understand various financial rules, procedures, or reporting standards.

Purpose:

The main purpose of this guidance is to promote transparency in the financial system, protect investors from fraud, and strengthen trust in the market.

Example:

If a new accounting standard or disclosure requirement is introduced, the SEC issues guidance to help companies comply properly and accurately with the new regulations.

Is it Mandatory?

Most of the time, SEC guidance is not legally binding, but it is considered best practice to follow it. Ignoring such guidance may lead to SEC investigations or penalties.$BTC $ETH