SEC chairman Gary Gensler emphasizes that cryptoma markets are susceptible to manipulations and investors-regulation
SEC chairman Gary Gensler emphasizes that cryptoma markets are susceptible to manipulations and investors-regulation
The chairman of the US Securities and Exchange Commission (Sec), Gary Gensler, calls for more investor protection on the cryptoma markets. "This investment class is full of fraud, fraud and abuse for certain applications," he said. "In many cases, investors are unable to obtain strict, balanced and complete information about tokens or commercial and credit platforms."
Gary Gensler wants more investor protection in cryptoma markets
Sec chairman Gary Gensler expressed concerns about the cryptocurrency markets last week at a meeting of the investor Advisory Committe.
The investor Advisory Committee used in accordance with Section 911 of the Dodd-Frank Act advises on regulatory priorities, including "Initiatives to protect the interests of investor and the promotion of investor trust and the integrity of the securities market".
During his speech, Gensler shared some concerns about the cryptoma markets.
he initially admitted that "Satoshi Nakamotos 'Bitcoin WhitePaper' and the following cryptom markets were catalysts for changes". In August, Gensler called" innovation is real "of the pseudonymen from bitcoin And "she was and could be a catalyst for changes in the areas of finance and money and could continue to be".
, citing the market capitalization of all cryptocurrencies, Gensler told the investor Advisory Committee: "This is an investment class that is part of public policy for the care of investors, to protect against illegal activities and to protect our financial stability." He said:
Unfortunately, this asset class is full of fraud, fraud and abuse in certain applications ... In many cases, investors are unable to obtain strict, balanced and complete information about tokens or trade and credit platforms.
"At the moment we just don't have enough investor protection in crypto," the SEC boss described. "The American public buys, sells and gives crypto on commercial, credit and decentralized financial platforms (Defi), where there are considerable gaps in investor protection." He emphasized:
This leaves markets open for manipulations. This makes investors vulnerable. If we do not tackle these problems, I fear that many people will be hurt.
Gensler further explained that many crypto tokens "are offered and sold as securities". On the question of whether a token is regarded as a security, he said: "In this regard, there is actually a lot of clarity. In the 1930s, the congress determined the definition of a security that included around 20 elements such as stocks, bonds and bonds."
The SEC chairman continued: "One of the points is an investment contract" and found that many tokens on the cryptoma markets "cannot be registered securities without the need for openings or market supervision".
Gensler said:
It is best not to wait for a large spill in a way in a way-the crypto gang with all its tokens, trade and lending-to eliminate the problems of investor protection.
The SEC chairman ended his speech with the statement that operators of crypto platforms and token emitters "should come in and speak to the employees of the Sec.
He added: "Financial innovations in the course of history do not thrive outside of our public political framework. If this area continues to exist or should continue to exploit its potential as a catalyst for changes, we should better include it in the framework of public policy."
What do you think of the comments of the Sec chairman Gary Gensler as investor protection and manipulation of the crypto market? Let us know in the comment area below.
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