Timmsons is sure that these documents will help the public and Congress understand the approach of the department under the leadership of the former chairman Gary Gensler to cryptocurrencies. Under the previous leadership, the SEC refused to explain how the laws on securities can be applied to digital assets. Timmons called the department approach to the regulation of cryptocurrencies “zigzago”.
In 2018, the former director of the Corporate Finance SEC William Hinman said that the commission would not consider BTC and ETH securities. Hensler later questioned the status of the ether, while he repeatedly refused to clarify whether the ether could be classified as a security, Timmons explained. The regulator approved the launch of spinal exchange funds (ETF) on air, which, according to Timmsons, could appear only if ETH is not a security.
“These throwing from side to side caused confusion among millions of participants in the American cryptocurrency market. This interferes with the effective regulation of the industry, ”Timms added.
Last year, the American cryptocurrency book Coinbase accused SEC of non -compliance with the Law on Freedom of Information (Foia). The case concerned the SEC investigation regarding the broadcast, when the department was supposed to clarify its position on this altcoin. However, the financial regulator stopped the investigation without publishing any official documents. Later, the court ordered the SEC to disclose certain information, after which Coinbase published the correspondence of the department with the New York prosecutor’s office, which insisted that the ether should be regulated as a security.
In February, SEC clarified that memcoirs are definitely not belonging to the category of securities, since their value depends on the mood of the market. The commission noted that investors buy this type of tokens at their own peril and risk.
Source: Bits
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