U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler said on Wednesday that it is "unlikely" that Bitcoin or other cryptocurrencies will be widely used as a daily payment method. He believes that it is more likely that such Assets will continue to be viewed as "stores of value."
At an event at New York University Law School, attendees asked: “If the cryptocurrency industry is fully regulated, then what value will the cryptocurrency, which was originally created to stay away from government control, have to users?”
Gary Gensler responded by pointing out that the U.S. SEC "does not take a position" on the value of cryptocurrency, and the investing public can evaluate whether a specific cryptocurrency has use or value through the information disclosed by the project party. He added:
This discussion existed as early as the time of Plato and Aristotle. For thousands of years, each economic system has had only one major currency in circulation at the same time, and examples like "bimetalism (two currencies coexisting)" are rare.
Gary Gensler quoted "Gresham's Law (19th century economic principle)" which advocates that bad money drives out good money, saying that countries usually want to have a single currency system, which can better serve as a store of value, a medium of exchange and a unit of account. . He said:
Therefore, it is unlikely that this thing (referring to cryptocurrency) will become a currency. It must demonstrate its value through disclosure, through use... just like you pick stocks on the stock exchange.
Defending "Law Enforcement Supervision"
During a conversation with New York University law professor Robert Jackson, Gary Gensler also defended the SEC’s frequent enforcement actions against cryptocurrency companies:
Can all our laws be enforced without police patrols?
Gary Gensler believes that the financial industry often tests the bottom line of the law and must take enforcement action when necessary to maintain order. He also mentioned that the cryptocurrency industry is still full of "a lot of fraudsters, a lot of scammers, a lot of scams," adding:
With all due respect, leading figures in the cryptocurrency space are either in jail this year or awaiting extradition.
Gary Gensler emphasized that the current framework of the U.S. SEC is sufficient to meet the regulatory needs of cryptocurrency. The "Howey test" established by the U.S. Supreme Court in 1946 can be used to evaluate whether a specific cryptocurrency is an investment contract, and there is no need to establish additional supervision. framework or legal tool.
As for whether the upcoming US presidential election will affect the SEC? Gary Gensler declined to comment or respond to a question about whether Trump would step down if elected.
[Disclaimer] There are risks in the market, so investment needs to be cautious. This article does not constitute investment advice, and users should consider whether any opinions, views or conclusions contained in this article are appropriate for their particular circumstances. Invest accordingly and do so at your own risk.
This article is reproduced with permission from: Block Guest
