While the cryptographic supervisory test is increasing, Gensler emphasizes the companies to register with the SEC

While the cryptographic supervisory test is increasing, Gensler emphasizes the companies to register with the SEC

cryptoplate shapes must register with the SEC in order to build up and conform to conformity, said SEC chairman Gary Gensler on Monday.

In his speech at the annual conference of the Penn Law Capital Markets Association, which focused on the future of crypto, Gensler repeated that crypto companies are likely to act with securities - which fall into the regulatory area of ​​responsibility of the Sec.

A large part of the approximately 5,000 crypto tokens are still in the early inner, he said, and the public generally invests in the expectation of profits based on the efforts of others-and fulfills the definition of an investment contract according to the Howey test of the Supreme Court of 1946.

"We do our best within our authorities to protect the public, but as long as the platforms are not actually registered and regulated, I do not think that the tokens will arrive and will register," said Gensler. "The platforms should really register; it is in their long -term business interest. They are simply not entirely agreed."

centralized and decentralized crypto trade and credit platforms trade with digital assets worth more than $ 100 billion a day, said Gensler. A typical trading platform has at least dozens of tokens, some of whom support hundreds.

"While the legal status of each token depends on its own facts and circumstances, the likelihood of the experience of the Commission with various tokens that are securities, and in view of so many tokens that are traded, is rather low that a certain platform has zero securities," he said.

Gensler pointed out that the SEC Blockfi had accused his crypto-lending product for retail in February, among other violations. The company, from which a fine of $ 100 million was expected, agreed to try to bring his business in accordance with the financial laws, he said.

In addition to crypto tokens and platforms, the SEC boss shared concerns about stable coins and found that "there are conflicts of interest and questions of market integrity that would benefit from more supervision".

"The three largest stable coins were created by commercial or credit platforms themselves, and US small investors have no direct return rights for the two largest stable coins according to market capitalization," he said.

Gensler said that stable coins "behave almost like poker chips in the casino" and added that many are not covered from dollars to dollars by benefits.

draft laws on the regulation of digital assets are expected to be introduced soon by the US legislator.

President Joe Biden signed a implementation regulation last month, in which various government agencies were asked to examine the "responsible development" of digital assets.

Gensler also dealt with crypto advertising that was broadcast during the Super Bowl, and found that advertising is "not just credibility". Many of the "Dotcom" companies that were marketed during the Super Bowl 2000 no longer exist, he said.

Basic “traffic rules” will ultimately create trust in the cryptoma markets.

"traffic lights, speed limits, police officers on the street had their price," said Gensler. "If we had carried out these reforms in the 1910s and 1920s not only in the United States, but all over the world, we wouldn't have sold so many cars?

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The Post as Crypto Regulatory Scrutiny Builds, Gensler penetrates Firms to Register with Sec, is not a financial advice.