Commissioner criticizes SEC for adopting necessary enforcement-centered method to crypto regulation


A commissioner of the United States Securities and Exchange Commission (SEC) has criticized the securities watchdog for its concentrate on enforcement actions in overseeing the cryptocurrency market.

Authority SEC Commissioner on Controversies Over Focusing on Enforcement Actions in Crypto Asset Management
Authority SEC Commissioner on Controversies Over Focusing on Enforcement Actions in Crypto Asset Management

SEC Commissioner Hester Peirce criticized her very own company on Monday just after announcing an enforcement action towards cryptocurrency exchange Poloniex. She mentioned that the SEC’s action towards the exchange “doubles down on the Commission’s enforcement-focused approach to crypto.”

The securities watchdog alleges that Poloniex operated with out registration and internally planned to “aggressively” listing extra assets in 2017 regardless of publicly stating that it would not listing. stock. The regulator explained in 2018 that the exchange permitted consumers to trade assets deemed “medium risk” as classified securities.

Peirce, also identified as the “crypto mom,” argued that the SEC was taking its time dealing with cryptocurrencies at the time. “During the period mentioned here (between 2017 and 2019), the Commission made a very cautious shift towards the involvement of regulated bodies with crypto assets,” she explained. , describe:

Sure ample, Poloniex could have experimented with to indicator up. If it was finished like that, it could have waited. . . and wait. . . and wait extra.

“Given that we have been slow to determine how regulated agencies might interact with cryptocurrencies, market participants may be surprised to see us coming,” the commissioner explained. immediately to the market place and companies with enthusiasm.”

A report published in May identified that the SEC has launched 75 enforcement actions towards firms and people in the crypto market. Last week, the SEC took its to start with action with regards to decentralized finance (defi).

Recently, SEC Chairman Gary Gensler outlined his method and priorities in regulating crypto assets, with a concentrate on investor safety.

Last week, he explained that “Satoshi Nakamoto’s innovation is real,” including that “it has been and can continue to be a catalyst for change in the financial and monetary spheres.”

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