This week’s governance, compliance and risk-management stories from around the web
– US regulators have taken a major step toward clarifying cryptocurrency oversight, as SEC chairman Paul Atkins outlined a new framework to define when digital assets fall under securities laws.
In comments madeearlier this week, Atkins said the SEC is introducing a ‘token taxonomy’ to classify crypto assets and end years of regulatory uncertainty over whether they qualify as securities. The framework distinguishes between different categories of tokens, with only those deemed ‘digital securities’ subject to federal securities rules.
Atkins also proposed a ‘safe harbor’ regime that would give crypto startups temporary relief from certain regulations, allowing them to raise capital while building networks, alongside a tailored exemption for early-stage projects.
The SEC’s approach signals a shift away from enforcement-driven regulation toward clear, rules-based guidance, aiming to support innovation while maintaining investor protections.
The move is expected to reshape how crypto firms operate in the US, with further rule proposals expected in the coming weeks.
– Sticking with the SEC, the regulator is preparing a proposal that would eliminate the requirement for publicly traded companies to report earnings quarterly, according to aWall Street Journal(paywall) report. Instead, firms would be allowed to disclose financial results semiannually, though quarterly reporting would remain optional.
The proposal, which could be released as early as next month, would go through a public comment period before a final vote by the regulator. There is no guarantee the measure will be adopted.
The move aims to reduce compliance burdens and encourage more companies to list publicly by easing reporting pressures. Supporters argue quarterly reporting promotes short-term decision-making, while critics warn that less frequent disclosures could reduce transparency and increase market volatility.
– Activist investor Elliott Investment Management has built a significant stake in Align Technology, the maker of Invisalign dental aligners, according toBloomberg(paywall). The investment makes Elliott one of the company’s largest shareholders and signals potential pressure for strategic changes aimed at boosting its stock price.
Elliott is expected to engage with Align’s management to explore options to improve performance, though the size of the stake has not been disclosed.
The move comes as Align faces sluggish growth and a sharp decline in its share price, which has fallen significantly from its 2021 peak amid weaker demand for dental products.
Despite reporting strong revenue in 2025, the company has forecasted only modest growth for 2026.
– Activist hedge fund Jana Partners is pressing Six Flags Entertainment to explore a potential sale and overhaul its board leadership, according to a letter reviewed byReuters(paywall). The firm has urged the theme park operator to engage with interested buyers, arguing such a move would better serve shareholders amid ongoing performance challenges.
Jana, which holds roughly a 9 percent stake in Six Flags, also called for the replacement of board chair Marilyn Spiegel, citing ‘board dysfunction’ and inconsistent decision-making. The investor criticized delays in announcing leadership changes and reversals in financial guidance that it said undermined market confidence.
The intervention comes shortly after Six Flags appointed John Reilly as CEO, a move Jana supports, but the hedge fund said stronger board oversight is needed. Shares have been volatile, rising after Jana’s investment was disclosed but later falling following earnings disappointments.
Six Flags has not publicly responded to the letter.
– Jana has also successfully led a campaign to encourage Fortune Brands Innovations to halt the planned appointment of a chief executive for its Yale and August smart-lock division, according to theFinancial Times(paywall). The decision averts a potential proxy fight and marks a concession by the company after Jana criticized its leadership choices and strategic direction.
Under the agreement, the incoming CEO will not assume the role, and Fortune Brands will instead conduct a broader search for leadership while engaging more closely with shareholders. The company has also committed to reviewing its strategy for the security and connected products unit.
Jana, a significant shareholder, had argued that management changes were necessary to improve performance and unlock value.
– Lululemon Athletica is facing mounting investor uncertainty as it continues its search for a permanent chief executive, with recent board changes doing little to relieve concerns.
As reported byReuters, the company appointed former Levi Strauss CEO Chip Bergh to its board, replacing outgoing lead director David Mussafer, as part of what it described as ongoing governance refreshment.
However, founder Chip Wilson, who is engaged in a proxy battle and holds a significant stake, said the move was insufficient and called for a broader board overhaul before a new CEO is selected. He cited persistent governance issues and warned that deeper changes are needed to restore confidence.
Lululemon has been under pressure following a sharp decline in its share price and weaker growth outlook, driven by design missteps and rising competition.
– The European Commission has proposed a new pan-EU corporate framework, known as ‘EU Inc’, as part of its broader ‘28th regime’ initiative aimed at simplifying business operations across the bloc, according totechUK.
If implemented, the proposal would introduce an optional, single set of rules allowing companies to operate across all EU member states without navigating multiple national legal systems and creating a harmonized corporate legal framework.
The initiative seeks to address regulatory fragmentation, which currently creates administrative burdens, delays and higher costs for companies expanding within the EU single market.
Under the plan, businesses could be established quickly through digital processes and operate under standardized rules, while national systems would remain in place as an alternative.
The proposal forms part of the EU’s wider competitiveness and innovation agenda, with the aim of making Europe a more attractive destination for high-growth companies and foreign investment