Burwick Law Urges SEC to Address Market Structure Beyond Crypto Asset Classification

In a comment on SEC (U.S. securities regulator) File No. S7-2026-09, Burwick Law said classification alone is insufficient if synthetic volume, extractable liquidity, and anonymity continue to distort price discovery.

Summary

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Terms & Concepts
  • Price discovery: The market process through which buyers and sellers determine an asset’s fair value through trading activity.
  • Synthetic volume: Trading activity that may not reflect genuine market demand, potentially distorting liquidity and pricing signals.
  • Liquidity: The ease with which an asset can be bought or sold without causing large price movements.