On February 19, 2026, the SEC’s Division of Trading and Markets issued a series of FAQs with a follow-up statement from SEC Commissioner and Crypto Task Force Leader Hester Peirce. Below, we analyze and comment on the FAQs and their implications for both the digital asset and blockchain markets and for regulatory policy. We believe, however, there are two significant themes worthy of close attention.

First, the FAQs and Commissioner Peirce’s statement confirm that the Commission is continuing its practice of providing broad direction and information to the crypto industry by way of “non-rules based” guidance, which can be found in FAQs, statements, speeches, etc. We believe that this effort is intended to bridge…