SEC Just Gave Crypto Lawyers a New Way to Win in Court

Why It Matters

Over the next two years, crypto litigators are likely to reference this order in motions for stays, injunctions and appeals, potentially shaping the outcome of ongoing enforcement actions.

Summary

The SEC issued an exemptive order on Oct. 31 delaying compliance deadlines for Regulation NMS rules until February and November 2026, citing regulatory uncertainty and a funding lapse. The order, aimed at traditional equity exchanges, creates a precedent that crypto platforms such as Coinbase, Kraken, Binance and Bittrex can cite when arguing that enforcement should be paused while the agency finalizes crypto‑market‑structure rules. Courts have already allowed fair‑notice defenses in crypto cases, and the SEC’s own acknowledgment of delayed compliance strengthens those arguments. Over the next two years, crypto litigators are likely to reference this order in motions for stays, injunctions and appeals, potentially shaping the outcome of ongoing enforcement actions.