The current Chair of the US Securities and Exchange Commission – Gary Gensler – opined that Washingtons financial watchdogs should directly regulate cryptocurrency trading venues. He raised hopes that further monitoring will happen this year to grant investors more protection when dealing with bitcoin and altcoins.
Crypto Platforms Are a Target in 2022
The 64-year-old American has repeatedly stated that the digital asset space needs better investor rules. Last year, he outlined his affection for the industry but said this will not stop him from pushing for enhanced regulations in the market.
“I‘m not neutral about investor protection. If somebody wants to speculate, that’s their choice, but we have a role as a nation to protect those investors against fraud,” Gensler said at the time.
During a recent virtual press conference, he reasserted his viewpoint by saying that cryptocurrency exchanges should face more scrutiny from the SEC and other monetary regulators this year. He expects that the additional monitoring will provide investors with the necessary protection when trading digital assets.
“I‘ve asked staff to look at every way to get these platforms inside the investor protection remit. If the trading platforms don’t come into the regulated space, itd be another year of the public being vulnerable,” he concluded.
It is worth noting that at the end of 2021, the SEC hired a new senior advisor, whose main duty is to advise Chairman Gary Gensler on regulations of cryptocurrencies. The name of the new exec is Corey Frayer, and he has previously worked on “issues ranging from consumer and investor protection.”
Protection but Not a Crypto Ban
Last year in October, Gary Gensler affirmed that the financial regulators have focused on enhanced protection for investors in the crypto space, rather than impose a total ban.
Fed Chair Jerome Powell also reassured that the USA has no intentions to prohibit the usage of digital assets. Like Gensler, though, he urged for more supervision in the space.
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