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California regulator objects to SEC crypto rules, seeks state-level checks
The state's Department of Financial Protection and Innovation wants crypto firms examined by both state and federal officials, according to a report.
Key takeaways
- California's DFPI has objected to crypto regulation rules proposed by the SEC, according to Bits.media.
- The department wants crypto companies checked by state officials as well as federal ones.
- The report does not identify which parts of the SEC proposal the department disputes.
- No timeline for the SEC's proposal or its comment period appears in the report.
A state regulator pushes back
The California Department of Financial Protection and Innovation has objected to cryptocurrency regulation rules proposed by the U.S. Securities and Exchange Commission, according to a report by Bits.media published on 10 November 2026.
The department wants crypto companies to be examined by state officials as well as federal ones, the report says. That would put firms under two sets of supervisors instead of one.
The report describes the department's position as opposition to the SEC's proposed rules but does not set out which provisions it disputes, what changes it has asked for, or how it filed its objection.
What the report leaves open
The report does not say when the SEC published the proposal, how long its comment period runs, or how the commission has responded to the department's position.
It also does not say whether other state regulators share the department's view, or whether the two authorities have discussed the matter.
The SEC is the federal agency that regulates securities markets in the United States. The Department of Financial Protection and Innovation is California's state financial regulator.
Sources
1 reportThis article was prepared by BattleTown Newsroom from the reports listed above.
Frequently asked questions
What does California's DFPI want to change?
According to Bits.media, the department wants crypto companies to be examined by state officials in addition to federal ones, rather than by federal regulators alone.
This story is for information only. It is not financial, investment or legal advice. Disclaimer
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