The United States Securities and Exchange Commission (SEC) is doubling down on its cryptocurrency industry enforcement efforts with the addition of 20 new positions to its crypto-specific unit.
Announced on Tuesday, this addition will take the headcount of the unit, which is responsible for protecting investors in crypto markets and from cyber-related threats, to a total of 50. It came after the agency renamed the unit as Crypto Assets and Cyber Unit.
The newly added ranks include supervisors, investigative staff attorneys, trial counsels, and fraud analysts, who will be based in Washington DC headquarters and also regional offices.
“The U.S. has the greatest capital markets because investors have faith in them, and as more investors access the crypto markets, it is increasingly important to dedicate more resources to protecting them,” Gary Gensler, the SEC Chair, said in a statement.
The Unit Behind Enforcement against Crypto Firms
The US securities market supervisor established the crypto enforcement unit in 2017. Since then, it has brought more than 80 enforcement actions related to crypto-assets that resulted in a total monetary relief of more than $2 billion.
The unit focuses on the securities law violations related to crypto-asset offerings, exchanges, lending and staking
Staking
Staking is defined as the process of holding funds in a cryptocurrency wallet to support the operations of a blockchain network. In particular, staking represents a bid to secure a volume of crypto to receive rewards. In most case however, this process relies on users participating in blockchain-related activities via a personal crypto wallet.The concept of staking is also closely tied to the Proof-of-Stake (PoS). PoS is a type of consensus algorithm in which a blockchain network aims to achieve distributed consensus.This notably differs from Proof-of-Work (PoW) blockchains that instead rely on mining to verify and validate new blocks.Conversely, PoS chains produce and validate new blocks through staking. This allows for blocks to be produced without relying on mining hardware. As such, instead of competing for the next block with heavy computation work, PoS validators are selected based on the number of coins they are committing to stake.Users that stake larger amounts of coins have a higher chance of being chosen as the next block validator. Staking ExplainedStaking requires a direct investment in the cryptocurrency, while each PoS blockchain has its particular staking currency.The production of blocks via staking enables a higher degree of scalability. Moreover, some chains have also moved to adopt the Delegated Proof of Staking (DPoS) model. DPoS allows users to simply signal their support through other participants of the network. In other words, a trusted participant works on behalf of users during decision-making events.The delegated validators or nodes are the ones that handle the major operations and overall governance of a blockchain network. These participate in the processes of reaching consensus and defining key governance parameters.
Staking is defined as the process of holding funds in a cryptocurrency wallet to support the operations of a blockchain network. In particular, staking represents a bid to secure a volume of crypto to receive rewards. In most case however, this process relies on users participating in blockchain-related activities via a personal crypto wallet.The concept of staking is also closely tied to the Proof-of-Stake (PoS). PoS is a type of consensus algorithm in which a blockchain network aims to achieve distributed consensus.This notably differs from Proof-of-Work (PoW) blockchains that instead rely on mining to verify and validate new blocks.Conversely, PoS chains produce and validate new blocks through staking. This allows for blocks to be produced without relying on mining hardware. As such, instead of competing for the next block with heavy computation work, PoS validators are selected based on the number of coins they are committing to stake.Users that stake larger amounts of coins have a higher chance of being chosen as the next block validator. Staking ExplainedStaking requires a direct investment in the cryptocurrency, while each PoS blockchain has its particular staking currency.The production of blocks via staking enables a higher degree of scalability. Moreover, some chains have also moved to adopt the Delegated Proof of Staking (DPoS) model. DPoS allows users to simply signal their support through other participants of the network. In other words, a trusted participant works on behalf of users during decision-making events.The delegated validators or nodes are the ones that handle the major operations and overall governance of a blockchain network. These participate in the processes of reaching consensus and defining key governance parameters.
Read this Term platforms, decentralized finance (DeFi) platforms, non-fungible tokens (NFTs), and stablecoins.
It also focuses on cyber-related threats and took action against SEC registrants and public companies for lapses in cybersecurity controls.
“By nearly doubling the size of this key unit, the SEC will be better equipped to police wrongdoing in the crypto markets while continuing to identify disclosure and controls issues with respect to cybersecurity
Cybersecurity
Cybersecurity is a blanket term that refers to the protection of computer systems and networks from the theft.More broadly speaking, cybersecurity can also represent countermeasures against damage to hardware, software, or electronic data, as well as from the disruption or misdirection of the services they provide.It was not long ago that the term cybersecurity not exist as it was first used in 1989. In today’s vernacular cybersecurity, refers to measures taken to protect a computer or computer system or a network against hacking or unauthorized access. Why Cybersecurity MattersCybersecurity is a huge concern for individuals given our reliance on computers, laptops, smart phones, the Internet, etc.These cyberattacks are usually aimed at accessing, changing, or destroying sensitive information, extorting money from users, or interrupting normal business processes. Implementing effective cybersecurity measures is particularly challenging today because there are more devices than people, and attackers are becoming more innovative. In the modern world, with every person and business connected, everyone benefits from advanced cyber-defense programs. At an individual level, a cybersecurity attack can result in everything from identity theft, to extortion attempts, to the loss of essential data like family photos. Everyone relies on critical infrastructures like power plants, hospitals, and financial service companies. Securing these and other organizations is vital to keeping our society functioning. Significant sources of cybersecurity threats include phishing, ransomware, malware, and social engineering, among others.With the rise of cryptocurrencies over the past decade, cybersecurity has also reached even greater importance a safeguard against abuse.
Cybersecurity is a blanket term that refers to the protection of computer systems and networks from the theft.More broadly speaking, cybersecurity can also represent countermeasures against damage to hardware, software, or electronic data, as well as from the disruption or misdirection of the services they provide.It was not long ago that the term cybersecurity not exist as it was first used in 1989. In today’s vernacular cybersecurity, refers to measures taken to protect a computer or computer system or a network against hacking or unauthorized access. Why Cybersecurity MattersCybersecurity is a huge concern for individuals given our reliance on computers, laptops, smart phones, the Internet, etc.These cyberattacks are usually aimed at accessing, changing, or destroying sensitive information, extorting money from users, or interrupting normal business processes. Implementing effective cybersecurity measures is particularly challenging today because there are more devices than people, and attackers are becoming more innovative. In the modern world, with every person and business connected, everyone benefits from advanced cyber-defense programs. At an individual level, a cybersecurity attack can result in everything from identity theft, to extortion attempts, to the loss of essential data like family photos. Everyone relies on critical infrastructures like power plants, hospitals, and financial service companies. Securing these and other organizations is vital to keeping our society functioning. Significant sources of cybersecurity threats include phishing, ransomware, malware, and social engineering, among others.With the rise of cryptocurrencies over the past decade, cybersecurity has also reached even greater importance a safeguard against abuse.
Read this Term,” Gensler added.
The SEC is also in the middle of its legal battle with blockchain company Ripple, the fate of which can reshare the US regulations around cryptocurrencies. The agency is also looking into the crypto lending business and settled with BlockFi for a fine of $50 million; the company paid another $50 million to the state regulators.
The United States Securities and Exchange Commission (SEC) is doubling down on its cryptocurrency industry enforcement efforts with the addition of 20 new positions to its crypto-specific unit.
Announced on Tuesday, this addition will take the headcount of the unit, which is responsible for protecting investors in crypto markets and from cyber-related threats, to a total of 50. It came after the agency renamed the unit as Crypto Assets and Cyber Unit.
The newly added ranks include supervisors, investigative staff attorneys, trial counsels, and fraud analysts, who will be based in Washington DC headquarters and also regional offices.
“The U.S. has the greatest capital markets because investors have faith in them, and as more investors access the crypto markets, it is increasingly important to dedicate more resources to protecting them,” Gary Gensler, the SEC Chair, said in a statement.
The Unit Behind Enforcement against Crypto Firms
The US securities market supervisor established the crypto enforcement unit in 2017. Since then, it has brought more than 80 enforcement actions related to crypto-assets that resulted in a total monetary relief of more than $2 billion.
The unit focuses on the securities law violations related to crypto-asset offerings, exchanges, lending and staking
Staking
Staking is defined as the process of holding funds in a cryptocurrency wallet to support the operations of a blockchain network. In particular, staking represents a bid to secure a volume of crypto to receive rewards. In most case however, this process relies on users participating in blockchain-related activities via a personal crypto wallet.The concept of staking is also closely tied to the Proof-of-Stake (PoS). PoS is a type of consensus algorithm in which a blockchain network aims to achieve distributed consensus.This notably differs from Proof-of-Work (PoW) blockchains that instead rely on mining to verify and validate new blocks.Conversely, PoS chains produce and validate new blocks through staking. This allows for blocks to be produced without relying on mining hardware. As such, instead of competing for the next block with heavy computation work, PoS validators are selected based on the number of coins they are committing to stake.Users that stake larger amounts of coins have a higher chance of being chosen as the next block validator. Staking ExplainedStaking requires a direct investment in the cryptocurrency, while each PoS blockchain has its particular staking currency.The production of blocks via staking enables a higher degree of scalability. Moreover, some chains have also moved to adopt the Delegated Proof of Staking (DPoS) model. DPoS allows users to simply signal their support through other participants of the network. In other words, a trusted participant works on behalf of users during decision-making events.The delegated validators or nodes are the ones that handle the major operations and overall governance of a blockchain network. These participate in the processes of reaching consensus and defining key governance parameters.
Staking is defined as the process of holding funds in a cryptocurrency wallet to support the operations of a blockchain network. In particular, staking represents a bid to secure a volume of crypto to receive rewards. In most case however, this process relies on users participating in blockchain-related activities via a personal crypto wallet.The concept of staking is also closely tied to the Proof-of-Stake (PoS). PoS is a type of consensus algorithm in which a blockchain network aims to achieve distributed consensus.This notably differs from Proof-of-Work (PoW) blockchains that instead rely on mining to verify and validate new blocks.Conversely, PoS chains produce and validate new blocks through staking. This allows for blocks to be produced without relying on mining hardware. As such, instead of competing for the next block with heavy computation work, PoS validators are selected based on the number of coins they are committing to stake.Users that stake larger amounts of coins have a higher chance of being chosen as the next block validator. Staking ExplainedStaking requires a direct investment in the cryptocurrency, while each PoS blockchain has its particular staking currency.The production of blocks via staking enables a higher degree of scalability. Moreover, some chains have also moved to adopt the Delegated Proof of Staking (DPoS) model. DPoS allows users to simply signal their support through other participants of the network. In other words, a trusted participant works on behalf of users during decision-making events.The delegated validators or nodes are the ones that handle the major operations and overall governance of a blockchain network. These participate in the processes of reaching consensus and defining key governance parameters.
Read this Term platforms, decentralized finance (DeFi) platforms, non-fungible tokens (NFTs), and stablecoins.
It also focuses on cyber-related threats and took action against SEC registrants and public companies for lapses in cybersecurity controls.
“By nearly doubling the size of this key unit, the SEC will be better equipped to police wrongdoing in the crypto markets while continuing to identify disclosure and controls issues with respect to cybersecurity
Cybersecurity
Cybersecurity is a blanket term that refers to the protection of computer systems and networks from the theft.More broadly speaking, cybersecurity can also represent countermeasures against damage to hardware, software, or electronic data, as well as from the disruption or misdirection of the services they provide.It was not long ago that the term cybersecurity not exist as it was first used in 1989. In today’s vernacular cybersecurity, refers to measures taken to protect a computer or computer system or a network against hacking or unauthorized access. Why Cybersecurity MattersCybersecurity is a huge concern for individuals given our reliance on computers, laptops, smart phones, the Internet, etc.These cyberattacks are usually aimed at accessing, changing, or destroying sensitive information, extorting money from users, or interrupting normal business processes. Implementing effective cybersecurity measures is particularly challenging today because there are more devices than people, and attackers are becoming more innovative. In the modern world, with every person and business connected, everyone benefits from advanced cyber-defense programs. At an individual level, a cybersecurity attack can result in everything from identity theft, to extortion attempts, to the loss of essential data like family photos. Everyone relies on critical infrastructures like power plants, hospitals, and financial service companies. Securing these and other organizations is vital to keeping our society functioning. Significant sources of cybersecurity threats include phishing, ransomware, malware, and social engineering, among others.With the rise of cryptocurrencies over the past decade, cybersecurity has also reached even greater importance a safeguard against abuse.
Cybersecurity is a blanket term that refers to the protection of computer systems and networks from the theft.More broadly speaking, cybersecurity can also represent countermeasures against damage to hardware, software, or electronic data, as well as from the disruption or misdirection of the services they provide.It was not long ago that the term cybersecurity not exist as it was first used in 1989. In today’s vernacular cybersecurity, refers to measures taken to protect a computer or computer system or a network against hacking or unauthorized access. Why Cybersecurity MattersCybersecurity is a huge concern for individuals given our reliance on computers, laptops, smart phones, the Internet, etc.These cyberattacks are usually aimed at accessing, changing, or destroying sensitive information, extorting money from users, or interrupting normal business processes. Implementing effective cybersecurity measures is particularly challenging today because there are more devices than people, and attackers are becoming more innovative. In the modern world, with every person and business connected, everyone benefits from advanced cyber-defense programs. At an individual level, a cybersecurity attack can result in everything from identity theft, to extortion attempts, to the loss of essential data like family photos. Everyone relies on critical infrastructures like power plants, hospitals, and financial service companies. Securing these and other organizations is vital to keeping our society functioning. Significant sources of cybersecurity threats include phishing, ransomware, malware, and social engineering, among others.With the rise of cryptocurrencies over the past decade, cybersecurity has also reached even greater importance a safeguard against abuse.
Read this Term,” Gensler added.
The SEC is also in the middle of its legal battle with blockchain company Ripple, the fate of which can reshare the US regulations around cryptocurrencies. The agency is also looking into the crypto lending business and settled with BlockFi for a fine of $50 million; the company paid another $50 million to the state regulators.
Source: https://www.financemagnates.com/cryptocurrency/regulation/sec-strengthens-crypto-enforcement-unit-adds-20-new-roles/