SEC Chairman Gary Gensler spoke about crypto regulation in remarks before the US Treasury Department’s Financial Stability Oversight Council and recorded his statement where he conceded that nothing in the crypto markets is subject to securities laws. is fraught with risk from speculative volatility and believes that a largely non-compliant market could put investors in the lurch, meaning that the crypto market would certainly collapse if there was not enough regulation. Volatility can expose investors to risk where they may have to risk their investment and of course it is not coupled with any law nor any authority is responsible for it and that’s why they believe middlemen and crypto It is very important for securities to comply with it and of course it is very important to regulate it.
The SEC chief concludes that the risks from the crypto market are generally not perceived by traditional financial sectors and that we all need to be mindful of these possibilities.
Gensler and the SEC have been heavily criticized for preventing the crypto exchange FTX collapse, and given that its staff and the chairman and former CEO himself were involved in a sit-in and after being arrested in the Bahamas, the securities watchdog finally turned on the SBF. Fraud charges were proven when Congressman invited Zainsler to testify before Congress about the cost of his failures to bring crypto into the regulatory system.
The Financial Stability Oversight Council also unanimously approved its 2022 annual report, and in the remarks, Gensler states that he fully supported the FSOC report, including its recommendations, and the Treasury Department report. The Council emphasises the importance of existing rules and regulations applicable to the crypto assets ecosystem and the Council’s identification of gaps in regulation for crypto activity and the Council’s efforts to address these gaps within the Treasury Department’s federal financial regulation for crypto assets. Recommendations have been made for an Act providing for regulatory and a rulemaking law. The Treasury Department states that we need to take steps to address regulatory arbitrage because crypto assets and institutions perform their services in the same way as traditional financial institutions but do not have a consistent and comprehensive framework that allows them to comply with the regulatory regime. And give Elizabeth Warren time last week. The US senator also passed a bill to regulate cryptocurrencies which was bipartisan and according to crypto advocates his bill titled “Digital Assets and Anti Money Laundering Act” a direct assault on the personal liberty and privacy of users and developers that they have noted so far”. Surely we can say that this statement expressed by the chancellor of sec proves to be very important because through this statement he clears that crypto regulation is necessary and it is needed by the whole world and they Its supporters say that without regulation, this industry cannot support and help us, nor can its services work for us. They clearly believe that if we talk about regulation of all types of crypto assets to ensure that its investments and its services are safe and not fraudulent and can ensure our investments in the best possible way And can also secure and with this the US senators appear in this side and as the bill was passed definitely that bill was proposed for the regulation of crypto and as a result of all the statements we can see that sec The majors view it as the most important attempt at crypto regulation.
