The SEC commissioner is against the recent crypto regulation and has expressed her disliking for the same. She has slammed the authorities for enforcing a tight approach over the crypto industry. This shows that the commissioner is a strong supporter of crypto and has gone to the length of criticizing her own agency. Hester Peirce made this statement after her agency took enforcement action against the crypto exchange Poloniex. She believes that the current action of the SEC is totally against crypto and its growth.
Action against Poloneix and Hester’s statement
Reports suggest that the action against Poloneix is due to the fact that it is operating without any registration. The company has also been allegedly listing securities which it is not supposed to. Back in 2017, the company said it would not list securities but then allowed users to trade tokens it considered risky of being classified as one. For those who don’t know, a token is classified as securities when it is likely to give you ownership of the company. This is unlike tokens that are of utility, for example, Ethereum.
Now talking about the registration which Poloneix avoided, Hester defended the company. She said that back in 2017-18, the SEC was taking its time to allow registrations. So, if Poloneix did register, it would have just waited and waited. Therefore it is understandable that the company didn’t register and still continued its business. This is why it makes no sense to probe a company based on the fact that they don’t have a license.
Even SEC Chairman Gary Gensler is not in favour of the new crypto regulation. He also said that crypto innovation is real and could change the fields of finance and money altogether.
Markets haven’t reacted negatively
Even though the regulation is not good, the markets have not reacted in a negative way to the sam. Before this, every time we heard such things, the market saw a downtrend, but it seems we are very bullish right now. Even though BTC is taking its time to clear the resistance at $46k, we could very soon see it blast off and move towards the $50k price point.
What are your thoughts on the SEC commissioner being against the recent crypto regulation? And do you think that the laws need to be changed? Let us know in the comments below. Also, if you found our content informative, do like and share it with your friends.
Also Read: Coinbase’s Q2 results shows a net profit of $1.6 billion.