The U.S. SEC is seeking public comments on the CAT audit tracking system, aiming to further balance regulatory costs and privacy security.

ME News message: On April 16 (UTC+8), according to an announcement on the SEC official website, the U.S. Securities and Exchange Commission (SEC) has issued a Concept Release and is formally seeking public comments on the future direction of the Consolidated Audit Trail (CAT) system. The consultation covers CAT’s funding and cost management, regulatory purposes, architecture and governance, design and scope, as well as how CAT will handle cybersecurity and data privacy arrangements with other audit trail systems, and requests input on balancing privacy and confidentiality, protections of civil liberties, and regulatory needs. The comment period for the concept document is 60 days after it is published in the Federal Register.

SEC Chair Paul Atkins noted that this review is intended to comprehensively evaluate CAT’s functions, governance, and sources of funding, with the goal of maintaining regulatory effectiveness while optimizing the cost structure and strengthening civil rights protections. Previously, within one year, the SEC reduced CAT’s projected operating costs by more than $100 million and permanently eliminated the reporting requirement for PII (personally identifiable information). (Source: PANews)