Crypto Crackdown Just Getting Started, Warns SEC Chair Gary Gensler
The crypto industry faces increasing regulatory scrutiny as SEC Chair Gary Gensler has declared that the crypto crackdown is just getting started. The US Securities and Exchange Commission (SEC) is ramping up its efforts to ensure that crypto firms comply with existing securities laws.
JUST IN: 🇺🇸 SEC Chair Gensler says the crypto crackdown is just getting started. Gensler also stated that the patience of the SEC is diminishing with more digital asset firms resisting compliance.
Gensler\'s Stance on Crypto and Securities Laws
According to Gary Gensler, the SEC’s crypto clampdown is just getting started, and the agency wants to ensure that firms comply with existing securities laws. The SEC Chair has repeatedly emphasized that many cryptocurrencies operate like securities, requiring exchanges and platforms dealing with these assets to adhere to securities regulations.
Kate Linebaugh reports: Gensler argues that just like stocks and bonds, cryptocurrencies work like securities, which means the exchanges where crypto is traded fall under the SEC\'s jurisdiction.
Proof-of-Reserves Not Enough, Says SEC Chief
The SEC chief suggests stipulations that the proof-of-reserves are not enough to protect investors in crypto exchanges. Gensler hopes the pending charges against FTX will serve as a warning to others in the space.
SEC\'s Increasing Enforcement Actions
The US Securities and Exchange Commission is just getting started with its crackdown on crypto firms that refuse to abide by its rules. SEC Chair Gary Gensler said in an interview that the agency is prepared to use all available tools to enforce compliance. This includes bringing enforcement actions against companies that are found to be in violation of securities laws.
The message from the SEC is clear: the crypto industry must comply with existing regulations, or face the consequences. The SEC’s crypto clampdown is only just beginning, so anticipate a continued push for greater regulation and oversight within the digital asset market.