Regulatory Relief: SEC and CFTC Propose $1 Billion Reporting Threshold Amid GENIUS Act Implementation

By Ana Gonzalez | April 20, 2026

The regulatory landscape for digital assets and private funds underwent a significant transformation today, April 20, 2026. In a rare joint move, the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) proposed major amendments to Form PF, signaling a concerted effort to reduce the compliance burden on smaller market participants. Simultaneously, the U.S. Treasury has begun the formal implementation of the GENIUS Act, bringing stablecoin issuers under a federal framework that bridges the gap between traditional banking and the digital economy.

These developments come as part of a broader “regulatory reset” in the United States, aimed at fostering innovation while maintaining systemic stability. The proposed changes to financial reporting, coupled with the move toward semi-annual rather than quarterly reporting for public companies, represent the most significant shift in U.S. corporate oversight in over two decades. For the crypto industry, these changes offer a glimmer of hope for a more predictable and less adversarial relationship with federal regulators.

The $1 Billion Reporting Threshold

The headline regulatory news today is the joint proposal to increase the reporting threshold for private fund advisers on Form PF. Currently set at $150 million in assets under management (AUM), the new proposal would raise this threshold to $1 billion. This change would exempt thousands of smaller hedge funds, private equity firms, and crypto-focused investment vehicles from the exhaustive and costly reporting requirements that were originally instituted in the wake of the 2008 financial crisis.

“The goal is to focus our oversight resources on the entities that pose the greatest systemic risk,” stated an SEC spokesperson. “By raising the threshold, we are allowing smaller advisers to focus on growth and capital formation rather than administrative overhead.” For many emerging crypto funds, which often operate with lean teams and high technical costs, this relief could significantly improve their operational viability and allow for more aggressive investment in the burgeoning DeFi and RWA sectors.

The GENIUS Act and Stablecoin Oversight

While fund advisers saw a reduction in reporting, stablecoin issuers are facing a new era of federal scrutiny. The U.S. Treasury, through FinCEN and OFAC, today released the first set of proposed rules to implement the GENIUS Act. This bipartisan legislation effectively brings stablecoin issuers under a federal anti-money laundering (AML) and sanctions framework, imposing “bank-like” compliance obligations on any entity issuing a dollar-pegged digital asset.

Under the new rules, issuers will be required to maintain 1:1 liquid reserves in “high-quality” assets, such as U.S. Treasuries, and undergo monthly audits by certified third-party firms. Furthermore, any stablecoin used for “systemically important” payment activities will be subject to direct supervision by the Federal Reserve. While some industry advocates decry the “banking-ization” of crypto, others see it as the necessary price for mainstream adoption and the eventual integration of stablecoins into the global real-time settlement system.

Shift to Semi-Annual Reporting

In a move that mirrors recent shifts in European markets, the SEC is also advancing a rule change to move U.S. public company financial reporting from a quarterly (10-Q) to a half-yearly (6-M) schedule. This change, which could become effective as early as late 2026, aims to discourage “short-termism” and reduce the compliance costs that have led to a decline in the number of public companies over the last decade.

For the crypto industry, this change is particularly relevant for publicly traded miners and exchange platforms like Coinbase and MicroStrategy. “Quarterly reporting often creates artificial volatility as the market reacts to three-month snapshots of a highly cyclical industry,” noted a financial analyst at WilmerHale. “A six-month cycle will allow these companies to better articulate their long-term infrastructure and asset-accumulation strategies.”

Digital Accessibility Extensions

Finally, the Department of Justice (DOJ) today published an Interim Final Rule regarding ADA (Americans with Disabilities Act) web accessibility. The rule extends the compliance deadlines for state and local government websites and mobile apps, many of which were struggling to meet the original 2026 targets. Depending on the population size of the entity, deadlines have been pushed to April 2027 or 2028. This extension provides much-needed breathing room for local governments as they navigate the complex task of making their digital services—including municipal crypto-payment portals—fully accessible to all citizens.

Looking Forward: A More Stable Framework

The events of April 20, 2026, suggest a maturing regulatory environment. While the era of the “unregulated wild west” is clearly over, the shift toward higher thresholds for smaller players and more consistent rules for larger ones provides a more stable foundation for the next decade of growth. As the GENIUS Act moves through its public comment period, all eyes will be on how the industry adapts to its new federal mandates.

Related: Major DeFi Protocol Proposes Time-Locked Staking to Thwart Malicious Governance Attacks | GENIUS Act Implementation Gains Momentum as Stablecoin Regulation Takes Center Stage in Early 2026

Disclaimer: Cryptocurrency investments are subject to high market volatility. This article does not constitute financial advice. Always conduct your own research before investing.