Sec's Mark Uyeda investigates Bill Hinman's 2018 cipher speech

Big News from the SEC – Action Chair Mark Ueda asked the team to take a fresh look at how the government is currently dealing with crypto risks and regulations. This comes as part of an effort to conform to Executive Order 14192, focusing on cutting red tape and improving regulations.

One of the first goals is the 2019 framework for investment contract analysis of digital assets. The document was based on a 2018 speech by former SEC official Bill Hinman. He proposed that whether cryptographic tokens are considered security depends on the centralization of the project, not on the way the project is sold. The idea has been quite controversial in the crypto world, and the SEC seems ready to rethink it.

Statement from Acting Chair Mark Ueda: In accordance with Executive Order 14192, unleashing prosperity through deregulation and with recommendations from DOGE, I have requested that the staff of the Securities and Exchange Committee be promptly considered the following staff statements.
– US Securities and Exchange Commission (@secgov) April 5, 2025

Weeda isn’t just Bill Hinman’s 2018 cipher speech. We also review important documents, including:

A 2022 guide for crypto companies on market turmoil and bankruptcy.
2021 risk alerts about the threat of crypto investors due to unclear rules.
A 2020 memo questioning whether banks can legally hold digital assets.
2021 advisory on mutual funds investing in Bitcoin futures.
2020 notes on the impact of Covid-19 on company disclosure.

This review aims to roll back some of the stricter rules introduced during Gary Gensler’s time as an SEC chair. Gensler was known for his strict attitude towards Crypto. This was something many people felt about blocking innovation rather than protecting investors. His approach was called multiple times by the courts “arbitrary and whimsical.”