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SEC’s New Dealer Definition – Who’s Now in Scope?

SEC dealer definition updates expand the scope of participants required to register as dealers.

On February 6, 2024, the SEC approved—in a 3-to-2 vote—updates to the dealer definition that will expand the scope of market participants required to register with the SEC as dealers. This article provides details on the changes, which clarify “in the regular course of business” and will capture roughly 40 principal trading firms, as well as private funds and even some crypto asset trading.

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