The Securities and Exchange Commission (SEC) appears to be going after crypto companies. Industry stakeholders find that the regulator is imposing inappropriate and exaggerated regulatory measures. They accuse the SEC of not giving clear answers to their main concerns. Recently, a member of the SEC also took issue with the way the federal agency regulates the crypto sector.
The SEC is not taking a sane approach to crypto regulation
Hester Peirce, an SEC commissioner, recently spoke about how the regulator regulates cryptocurrencies. In one ITEM e decode, she said the SEC treats cryptos unfairly. She explains that initially regulators believed the new industry would be short-lived. Then they asked themselves:Why invest resources in developing some kind of framework for something that won’t last? ».
The commissioner explained that this assumption led the SEC to approve an approach that goes against the way it usually works. The agency then proceeded to apply exclusively isolated actions related to the regulation of the crypto sector. “Usually when we write a rule, we come up with a proposal said Hester Peirce.
The commissioner added:People talk to regulators, we talk to the public. It’s a very healthy conversation“. But, so far, the SEC does not interact with crypto companies in a healthy way. What she does is impose one’s policy unheard of for any of the crypto companies. However, it should rather seek to collaborate with the entire industry.
According to Commissioner Peirce, this is not the right way to regulate
The current chairman of the SEC always stated that the agency does not treat crypto differently from other sectors. Indeed, Gary Gensler has often stated that he is willing to respond to criticism of the SEC’s policies. He encourages cryptocurrency companies to “open trade »if they are dissatisfied with the established regulations.
But for SEC Commissioner Hester Peirce, “no one else is in the room. It is a dialogue of the deaf“. “Customers are not in the room. Competitors are not in the room. And the regulator has the upper hand because they are ready to take enforcement action. It’s just not a good way to fix“, she said.
SEC Commissioner Hester Peirce Argues Federal Agency Treats Cryptos One Way aggressive, while no other sector is treated in this way. According to her, contrary to what the chairman of the SEC often declares, the regulator imposes its policy on crypto companies.
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No less than it dampened my enthusiasm, an unsuccessful investment in a cryptocurrency in 2017 only increased my enthusiasm. Therefore I decided to study and understand the blockchain and its many uses and transmit with my pen information about this ecosystem.