SEC Chairman Gary Gensler believes that current securities regulations are sufficient to regulate the cryptocurrency field.

In a recent testimony before the US House of Representatives, Securities and Exchange Commission (SEC) Chairman Gary Gensler addressed the issue of cryptocurrency regulation. He stated that the current securities regulations being applied by the SEC are “enough to cover most of the activities that are going on in the crypto field.”

When asked if the SEC has a plan to issue a regulation clarifying how securities laws will apply to digital assets, Gensler replied, “Those regulations already exist. That is the securities regulation that details how to conduct public fundraising.”

Gensler also commented on the state of the cryptocurrency market, stating that it is currently in a lawless period filled with non-compliance. He believes that the majority of cryptocurrency projects are securities under current regulations. He added that only the Securities and Exchange Commission, under the supervision of the House Financial Services Committee and the Senate Banking Committee, along with the courts, have the authority to define what is a security, not crypto exchanges.

Earlier this month, Gensler had taken a clear position on the matter, stating that only Bitcoin (BTC) is not a security, while most other coins will fall under the category and be subject to SEC regulation.

Meanwhile, the Commodity Futures Trading Commission (CFTC), another major financial regulatory agency in the US, has consistently opposed the SEC’s argument, claiming that large cryptocurrencies such as BTC, ETH, and even stablecoins are commodities. The US legislature is currently discussing a bill that would give CFTC the authority to regulate cryptocurrencies as commodities.

When asked about the topic, Gensler stated, “I think there are many regulations that, if applied, would trivialize the securities aspect of crypto.”

Regarding Binance, a platform recently sued by the CFTC for serious irregularities in trading activities, Gensler declined to comment on the matter or whether the SEC would target Binance next. Nevertheless, the SEC has taken legal action against many other exchanges in the past.

#SEC #Gensler #crypto2023 #BTC #azcoinnews

This article was republished from azcoinnews.com

Gary #Gensler , the Chairman of the Securities and Exchange Commission (SEC), recently spoke about the SEC's evolving approach to applications for spot Bitcoin Exchange-Traded Funds (ETFs), highlighting the significance of recent judicial decisions in this area.
SEC's New Perspective in Response to Judicial Decisions
In an interview with CNBC, Gensler detailed the SEC's revised stance influenced by court rulings that urged the regulator to reevaluate its previous rejections of Bitcoin ETF applications and to adopt a new approach. "It's now between eight to a dozen filings," said Gensler, emphasizing that as the Chairman of the SEC, he does not want to preempt anything and that everything is currently under review.
 Gensler's Responses to Questions About Policy Changes
Speaking about the Grayscale case, Gensler was asked whether the SEC is altering its stance in response to objections. "At the SEC, we proceed in accordance with the laws set by Congress and as interpreted by the courts," Gensler explained, adding that the cryptocurrency field is fraught with regulatory non-compliance.
 SEC and Interactions with Bitcoin ETF Issuers
In recent weeks, the #SEC has met with major Bitcoin ETF issuers, including BlackRock, Fidelity, Grayscale, and Franklin. James Seyffart, an ETF analyst at Bloomberg Intelligence, suggested that frequent communication could lead to greater hope for the early approval of these funds.
 Delay in Decisions on Ethereum ETFs
The SEC has again postponed its decision on spot Ethereum ETF applications, this time from companies Invesco and Galaxy Digital. Seyffart proposes that the SEC consider simultaneous approval of multiple applications to ensure a level playing field among competitors.
 Matrixport's View on Bitcoin and Cryptomarkets
According to a report by Matrixport, a crypto financial services platform, #Bitcoin and the overall cryptomarket will continue to prosper in 2024, even if the SEC does not approve Bitcoin ETFs. The report predicts that cryptocurrency prices could rise in 2024 and advises investors to monitor the Bitcoin dominance chart.
 Potential Impact of Politics on Cryptomarkets
The report also states that the potential return of Donald Trump to the political arena could positively influence the cryptomarkets. "2024 is also an election year, and the likelihood of former President Donald Trump being re-elected is high," the report notes, suggesting that his policies could boost the American economy and consequently the values of American stocks and cryptocurrencies.
#Binance #crypto2023
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