a16z and DeFi Education Fund (DEF) submitted a proposal to the U.S. Securities and Exchange Commission (SEC) on Sept. 14 responding to its request for comment on the regulatory framework for crypto asset trading platforms (CTPs). The groups proposed using the SEC’s 1998 alternative trading system (ATS) framework as a model, allowing CTPs to register through notice filing and enabling a single platform to support trading in crypto securities alongside non-securities such as BTC and stablecoin pairs. They said Form ATS-N public disclosure requirements should apply only after trading volume exceeds a specified threshold, with lower-volume filings submitted confidentially. The proposal would also allow differentiated user access permissions and blockchain-based recordkeeping. The broader proposal described qualifying decentralized exchanges (DEXs) and front-end DEX Apps as noncustodial, automated or permissionless systems that operate neutrally, use objective market data and avoid discretionary control over trade execution.