Exchange Act 1934

Definition ∞ The Exchange Act of 1934 is a United States federal law regulating the secondary trading of securities. This legislation established the Securities and Exchange Commission (SEC) and governs the trading of securities on exchanges, broker-dealers, and other market participants. It mandates reporting requirements for publicly traded companies and aims to ensure fair and orderly markets while protecting investors from manipulative practices. The Act provides a comprehensive framework for market oversight and enforcement.
Context ∞ The Exchange Act of 1934 is frequently referenced in discussions concerning the regulatory classification and oversight of digital assets, particularly those traded on secondary markets. A key debate involves whether certain cryptocurrencies qualify as securities under this Act and the implications for crypto exchanges. Future regulatory actions will likely continue to apply its principles to digital asset platforms to ensure investor protection.