Countries all over the world, in their way, are making efforts to control the money system. This is majorly by setting up directives and policies to guard monetary administration even with decentralized financing in place. The US SEC is believed to do the same under a new chairmanship potentially.
Major Updates
- Monetary lawmakers attempt to control decentralized currencies.
- A new crypto-supportive SEC chairman has been appointed.
- Potential crypto regulations could make or break global crypto activities.
- SEC has indirect control over cryptocurrencies through exchange bodies
Since the rise of cryptocurrencies, regulatory bodies have long tried to control and regulate these currencies, even if it means ridding them of their decentralized nature.
Many countries are already adopting anti-crypto policies, including [South Africa[(https://www.google.com/amp/s/www.aljazeera.com/amp/economy/2021/3/9/bpoor-regulation-pushing-south-africas-crypto-firms-to-relocate) and Nigeria. Now we look at the US and their SEC body. The previous chairman left the seat with a note of potential happenings within the SEC.
A “fair amount” of regulations, as he described them, will be set up further along with newer leadership. Previous news has already mentioned regulations to monitor crypto transactions full-time.
A mass warrantless surveillance.
However, Pitt is unsure if these regulations will affect crypto securities. He is certain of one thing; the newly sworn-in crypto advocate chairman, Garry Gensler, will be applying his crypto expertise in his leadership. This will further growth and a better understanding of cryptocurrencies by the SEC.
A better understanding could have positive effects on the SEC cryptocurrency regulations. It could lead to advancements allowing cryptocurrencies to flourish in the United States and furthermore, globally. This would mean global mainstream crypto movements hence, world wide acceptance and massive adoptions.
Pitt also explained how cryptocurrencies like Bitcoin and Ethereum did not fall under the category of securities, therefore were out of the jurisdiction of the SEC. However, the exchanges are a different story.
Conclusion
Exchange bodies like Coinbase do fall under SEC’s jurisdiction and since they are among the top exchanges globally, the SEC has a high but indirect control over the activities of these currencies.
This is where the leadership and crypto knowledge of Gary Gensler‘s come to play in activities concerning the SEC and digital currencies.
Question of the Day
What do you think of the new SEC crypto advocate Chairman Gary Gensler?
