The SEC has launched its 2021 regulatory agenda and has left Bitcoin and cryptocurrency out. As a substitute, its focus is on short-selling, a subject that has grown right into a heated debate within the wake of the meme inventory craze with GameStop and AMC Theaters.
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That is comparatively shocking given the SEC Chair’s feedback on crypto and the way he wish to see extra regulation.
“This can be a fairly unstable, one may say extremely unstable, asset class, and the investing public would profit from extra investor safety on the crypto exchanges,” mentioned Gary Gensler on the Monetary Business Regulatory Authority’s annual convention.
Gensler mentioned that the SEC does have some authority with securities and that some cryptocurrencies do fall into that class, however others, like Bitcoin, don’t.
“There’s plenty of authority that the SEC at present has within the securities house, and there are a selection of cryptocurrencies that fall inside that jurisdiction however there are some areas, significantly bitcoin-trading on giant exchanges, that the general public just isn’t at present actually protected.”
Gensler had pushed for Congress to make an effort on crypto laws in Could, however there was little motion to date. Nevertheless, one Senator, Elizabeth Warren, has known as for a crackdown on cryptocurrencies as a consequence of environmental issues, relatively than investor safety.
“Bitcoin requires a lot computing exercise that it eats up extra power than complete international locations. One of many best and least disruptive issues we are able to do to combat the #ClimateCrisis is to crackdown on environmentally wasteful cryptocurrencies,” mentioned Warren throughout a listening to.
The SEC’s agenda exhibits that it’s going to concentrate on disclosures on local weather dangers, modernization of market construction, extra transparency on inventory buybacks and brief promoting and particular objective acquisition corporations. It’s nonetheless unclear when the regulatory physique plans to sort out the looming crypto subject.