US government shutdown enters day 1: How is the SEC still functioning?
In addition to restrictions on enforcement actions and ongoing litigation, the agency will likely stop reviewing crypto ETF applications.
Members of the US Securities and Exchange Commission (SEC) began shutting down operations on Wednesday under a lapse in government funding, with most staff directed to secure their work and prepare for what could be a days-long pause in operations.
According to a Wednesday notice on X, about nine hours after US lawmakers were unable to pass a bill to continue funding the government, the SEC was operating in accordance with a plan set up in August. The plan stated that the agency would have an “extremely limited number of staff” and many of its systems would operate “under modified conditions.”
“On the first workday of a lapse in appropriations, non-excepted staff will engage in activities to shut down their respective operations, to secure their workstations and work materials, and to prepare for the rapid restart of operations when funding is renewed,” said the SEC.