Key notes
- SEC to use “opinion and comment” instead of prosecution for the regulation of cryptography.
- The new crypto working group aims to rationalize policy between dry divisions.
- President Paul Atkins provides for clear rules for the Crypto, Trade and Guard program.
Paul Atkins, president of the Securities and Exchange Commission of the United States, informed the congress that by virtue of its management, the Commission will shape the crypto policy through the “Opinion and commentary” process rather than relying on “regulation by application”.
The president of the SEC made this thanks to a remark from June 3 to the Senate credits subcommittee on financial services. Atkins added that the Commission will use “its existing authorities to establish adjustment standards for market players”.
Atkins noted that the SEC will focus on the development of “a rational regulatory framework for the cryptographic asset markets which establishes clear rules of the road for issuance, guard and trade in cryptographic assets while continuing to discourage bad players from raping the law.”
This approach marks a gap compared to the previous dry administration under Gary Gensler, which emphasized the application measures against cryptographic companies rather than formal regulations. As a result, Gensler faced important criticism from the cryptocurrency industry.
Since he took office as President of the SEC, Atkins abandoned the prosecution against several cryptography companies and has moved the position of the commission on cryptographic policy.
Atkins provides for a crypto policy
In the remark of the Senate subcommittee, Atkins revealed that the approach of the SEC will be based on “the original intention of the congress, which consists of violation of the police of these established obligations, in particular with regard to fraud and manipulation”.
Atkins noted that the SEC will create rules that cryptographic companies must follow to issue, exchange and hold cryptocurrencies. These rules should offer “protection against investors against fraud, not the least to help them identify scams that do not behave with the law”.
He added that his plans for the SEC will need “coordination between several offices and divisions within the Commission”, and consequently is happy that two commissioners, Marky Uyeda and Hester Peirce, created the working group on the crypto.
This marks a passage from the previous approach to the dry to work in isolated political silos to a more unified structure through the new crypto work force.
According to Atkins, the working group will allow various political divisions within the Commission to collaborate more effectively and provide clarity and certainty long expected to the American public.
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Rose is a writer of cryptographic content with solid experience in finance and technology. It simplifies complex blockchain and cryptocurrency subjects, offering insightful articles and market analysis to help readers sail in the evolving cryptography landscape.
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