- SEC’s Gensler criticized for lack of clarity on digital asset rules.
- Gensler’s vague answers on crypto regulation fuel uncertainty in markets.
- Gensler maintains existing guidelines and urges crypto platforms to comply.
In a recent development, Gary Gensler, the current chairman of the US Securities and Exchange Commission (SEC), has been accused of putting American investors at risk by failing to clarify digital assets rules.
Gensler has come under fire for his lack of transparency on the matter, with critics suggesting that his inability to give clear answers on the regulation of cryptocurrencies could lead to confusion and uncertainty in the market.
On Tuesday, during a Representative Hearing, Bryan Steil, the chairman of the house admin, asked Gensler if he had ever owned any digital assets. However, Gensler declined to provide a clear answer, leaving the question unanswered.
Meanwhile, the SEC chair prepared a statement reiterating previously stated views, affirming that the securities laws are not incompatible. With the crypto markets, most crypto tokens are considered securities.
Therefore, many crypto intermediaries must register with the SEC as they transact in securities. This is not a choice, but a legal obligation that must be fulfilled.
In addition, Gensler pointed out that the digital asset market needs to be more compliant. It significantly endangers investors and undermines public trust in our capital markets. Real people’s life savings are jeopardized by neglecting investor protection.
Gensler Maintains Existing Guidelines for Cryptocurrency Industry
Previously, members of the US Congress criticized Gensler for his direct handling of the cryptocurrency industry in the United States. Congressman Warren Davidson went as far as to propose a bill to restructure the SEC and remove Gensler from his position.
Despite criticism for his strict regulatory stance on the cryptocurrency industry, Gensler has maintained the existing guidelines without any significant changes.
Moreover, the SEC chair has urged cryptocurrency platforms to abide by the established guidelines set by the regulatory body.
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Source: https://thenewscrypto.com/sec-chair-gensler-under-fire-for-unclear-digital-asset-rules/