Gensler urges crypto exchanges to work with the SEC

Cryptocurrency exchanges perform more functions than merely organizing trades, and sometimes they can act against their clients. This is the view of the head of the SEC, Gary Gensler, expressed in an interview with Wall Street Journal.

\n\n

“The public expects a certain profit based on the efforts of some entrepreneur or group of programmers who have raised money from the public. This falls within the regulator’s remit,” the official noted.

\n\n

He reaffirmed the intention to take tougher measures to protect investors and stressed that exchanges hold user funds. Platforms can also use information obtained from clients, Gensler added, urging companies to engage with the Commission.

\n\n

“I’ve publicly stated: come in, work with the SEC, register. In essence, these are exchanges, but there is other activity going on inside them. Therefore investors should receive robust protection,” Gensler stressed.

\n\n

Earlier, the official acknowledged that cryptocurrencies have a future, but only in an environment of trust.

\n\n

In May, the Commission chairman urged Congress to bring clarity to the regulation of the crypto industry and said that the rules are necessary for digital assets to survive.

\n\n

In the summer, he warned of tighter regulation of stablecoins and DeFi. In the agency head’s view, decentralization does not provide immunity from SEC oversight.

\n\n

In October, Gensler said that the Commission has no plans to ban cryptocurrencies, citing that this is a prerogative of Congress.

\n\n

Follow ForkLog news on Facebook!