SEC chief wants to create Nasdaq for cryptocurrencies
The Commissioner believes that solving the problems of trading crypto platforms is a necessary step towards ensuring the safety of investors.
The new chief commissioner of the US Securities and Exchange Commission (SEC) Gary Gensler believes it is necessary to work out regulatory rules for crypto exchanges. He stated this during a regular hearing.
Gary Gensler is confident that users of cryptocurrencies, as a new financial instrument, are using gaps in the current legislation to work with digital assets. The formation of clear regulatory boundaries for crypto exchanges, in his opinion, will be the solution to the problem.
Also, the chief commissioner of the SEC drew attention to the scale of the cryptoindustry. He noted that the Commission does not have time to control the entire market. This, in his opinion, is indicated by the small percentage of violations identified by the SEC in comparison with the number of projects functioning in the cryptoindustry.
Gary Gensler is confident that users of cryptocurrencies, as a new financial instrument, are using gaps in the current legislation to work with digital assets. The formation of clear regulatory boundaries for crypto exchanges, in his opinion, will be the solution to the problem.
Also, the chief commissioner of the SEC drew attention to the scale of the cryptoindustry. He noted that the Commission does not have time to control the entire market. This, in his opinion, is indicated by the small percentage of violations identified by the SEC in comparison with the number of projects functioning in the cryptoindustry.
SEC chief wants to create Nasdaq for cryptocurrencies
The problem, Gary Gensler is sure, can be solved by providing market participants with effective and fully regulated, from the point of view of the law, trading platforms.
The head of the SEC:
I thought that we could, together with Congress, tackle the problem of protecting investors while they work on the platforms within the walls of which trade in goods and securities
According to Gary Gensler, he wants to provide crypto exchange users with a level of security similar to that offered to investors by the New York Stock Exchange (NYSE) and Nasdaq. To realize the goals, the head of the SEC is sure, the Commission will have to find additional funding.
Earlier, Gary Gensler has already paid attention to the problems of regulation of crypto exchanges. At a hearing before the Financial Services Committee of the US House of Representatives on May 6, 2021, the Commissioner noted that the absence of a special regulatory body does not allow organizing the proper conditions for protecting investors from fraud and manipulation.
Mismatching expectations
Earlier, Gary Gensler has already paid attention to the problems of regulation of crypto exchanges. At a hearing before the Financial Services Committee of the US House of Representatives on May 6, 2021, the Commissioner noted that the absence of a special regulatory body does not allow organizing the proper conditions for protecting investors from fraud and manipulation.
Mismatching expectations
Recall that Gary Gensler headed the SEC in mid-April 2021. With his inauguration, members of the crypto community have a number of expectations. In particular, investors are waiting for a positive decision on the launch of a bitcoin-ETF from the new head of the SEC.
Crypto enthusiasts, in turn, are confident that Gary Gensler can positively influence the regulation of the digital asset market. Against the background of his appointment, many lawmakers again presented initiatives rejected by the previous head of the SEC. For example, "cryptomam" Hester Pearce has published a revised version of the regulatory vacation for crypto startups.
Crypto enthusiasts, in turn, are confident that Gary Gensler can positively influence the regulation of the digital asset market. Against the background of his appointment, many lawmakers again presented initiatives rejected by the previous head of the SEC. For example, "cryptomam" Hester Pearce has published a revised version of the regulatory vacation for crypto startups.
Unfortunately, the performance of Gary Gensler in his new position does not quite meet the expectations of market participants. In particular, instead of discussing the possibilities of launching exchange-traded funds based on cryptocurrency and other similar initiatives, the commissioner pays more attention to tightening regulatory norms.
We will remind, recently the information appeared on the network that the US regulatory authorities will change the rules for investors due to the GameStop pump and the default of Archegos.
We will remind, recently the information appeared on the network that the US regulatory authorities will change the rules for investors due to the GameStop pump and the default of Archegos.
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