On the occasion of Bitcoin's 15th anniversary, Gary Gensler, the Chairman of the Securities and Exchange Commission (SEC), issued a statement urging cryptocurrency firms to comply with securities laws. The anniversary, which marks the publication of the Bitcoin white paper by its mysterious creator, Satoshi Nakamoto, in 2008, served as a platform for Gensler to reiterate his regulatory stance.
Gensler used his Halloween-themed tweet to appreciate Bitcoin's unique position as the first functional system for peer-to-peer electronic cash transactions that bypass traditional financial institutions. However, he emphasized that most other cryptocurrencies, including stablecoins, could potentially be viewed as unregistered securities.
During his tenure as the SEC Chair, Gensler has overseen strict legal action against major cryptocurrency entities like Binance, Coinbase (NASDAQ:COIN), and Kraken. This enforcement stems from concerns about these platforms' sale of unregistered securities. Despite facing criticism from industry leaders and lawmakers over perceived unclear rules and potential innovation stifling, Gensler maintains that existing securities and disclosure regulations offer clear guidance.
This viewpoint was further underscored in his testimony at the House Appropriations Subcommittee on Financial Services and General Government. Responding to Congressman Sanford Bishop (D-GA), Gensler stated that the cryptocurrency space is "rife with noncompliance." He also noted that there is no need for more digital currency in the U.S., and that a vast majority of coins and tokens in the market are indeed securities.
Despite analysts' belief that approving a spot Bitcoin ETF could significantly boost its price, Gensler remains hesitant. His recent social media engagement sparked backlash from users like @osf_rekt who deemed it "unprofessional." This reaction highlights the heightened sensitivity around Bitcoin and raises questions about Gensler's approach to social media communication.
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