U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler outlined what to expect from the securities watchdog regarding crypto regulation.” We have robust authority from Congress as well to use our exempt authority to tailor investor protections,” he explained.
Chairman Gensler emphasized the SEC’s commitment to crypto regulation
SEC Chairman Gary Gensler outlined what he expects from his agency regarding crypto regulation in the United States in an interview with Yahoo Finance Live on Thursday. He asked, “What can we expect from the SEC in the coming months on the crypto regulatory front?” He asked.
Gensler replied.” More broadly, the public now has a variety of these service providers … . will benefit from investor protections around exchanges, lending platforms, and broker-dealers.” The SEC Commissioner elaborated.
The SEC works with exchanges, lending, and broker-dealers to talk with industry participants about how to come into compliance, or change parts of it.
Gensler stressed that he has repeatedly told crypto exchanges, trading platforms, and lending platforms to ” Come in and talk to us.”
He explained that the SEC has authority from Congress to modify some rules to better protect investors, stating.
we also have strong authority from Congress to use exemptive authority to adjust investor protections.
He noted that the Securities Oversight Board could also adjust the disclosure content of the tokens themselves, adding that perhaps not all disclosures for someone issuing stock apply to crypto issuers.
“The public benefits by knowing full and fair disclosure and that someone is not lying to them …
basic protections, the SEC boss stressed.
Gensler further shared what to expect from his agency regarding crypto regulation.
We are also looking at tokens, stablecoins and non-stablecoins. Apart from that, we are discussing with our friends and colleagues at the banking regulators and the CFTC.
He reiterated that “Bitcoin is a non-security token,” adding that with non-security tokens, the SEC will send information to the Commodity Futures Trading Commission (CFTC) and “cooperate as best we can. “In June, Gensler but would not comment on other crypto tokens, including Ether (ETH
The SEC chairman proposed “one rulebook” for regulating crypto tokens in May. He revealed at the time that he was working on a memorandum of understanding with his counterparts at the CFTC, noting that it would formalize the trading of digital assets to ensure that they have adequate safeguards and transparency.
Following the collapse of cryptocurrency Terra (LUNA) and Stable Coin Terraus (UST), Gensler warned that many crypto tokens would fail. He also cautioned investors about “too good to be true” crypto products after crypto lender Celsius Network froze withdrawals.
The SEC is currently investigating Celsius for its decision to freeze accounts. The crypto company filed for bankruptcy protection last week. Securities regulators are also investigating Do Kwon’s Terraform Labs and UST.
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