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US Lawmaker Calls on SEC to Issue Crypto Regulations — Says ‘a Formal Regulatory Process Is Needed Now’

News Feed - 2022-10-16 08:10:35

US Lawmaker Calls on SEC to Issue Crypto Regulations — Says "a Formal Regulatory Process Is Needed Now"


A U.S. senator has called on the Securities and Exchange Commission (SEC) to issue crypto regulations now “through a transparent notice-and-comment regulatory process.” He stressed that “some digital assets are securities, others may be commodities, and others may subject to a completely different regulatory regime.” US Senator Calls for ‘Transparent Notice-and-Comment Regulatory Process’ to Regulating Crypto Assets


U.S. Senator John Hickenlooper (D-CO) has sent a letter to the chairman of the Securities and Exchange Commission (SEC), Gary Gensler, regarding crypto regulations.


In his letter dated Oct. 13, the senator told Gensler, “Clear rules promote an environment where investors are protected,” adding: I write to urge the SEC to issue regulations for digital asset securities through a transparent notice-and-comment regulatory process.


He stressed: “Currently, digital asset markets do not have a coordinated regulatory framework. This creates uneven enforcement, and deprives investors of a clear understanding of how they are protected from fraud, manipulation, and abuse.”


Noting that existing laws and regulations were not designed for digital assets, he explained: “Applying the old rules to the new market could inadvertently cause financial services to be more expensive, less accessible, and the SEC’s disclosure regime to be less useful to the American people.” The senator noted: Given the complexity of these issues, and recognizing that some digital assets are securities, others may be commodities, and others may subject to a completely different regulatory regime, a formal regulatory process is needed now.


“This will significantly improve policy development and allow the SEC to collect views and understand concerns,” he said.


The senator proceeded to outline some of the key areas that the SEC should address, including clarifying what types of digital assets are securities, addressing how to issue and list digital securities, establishing a registration regime for digital asset security trading platforms, and setting rules on how trading and custody of digital assets should be carried out.


Hickenlooper opined: I recognize these questions are complicated, but it is time for the SEC to engage. Tags in this story crypto commodities, digital asset securities, Gary Gensler, SEC, SEC crypto regulations, SEC crypto regulatory process, SEC crypto securities, sec rules


What do you think about the letter from Senator Hickenlooper to SEC Chairman Gary Gensler? Let us know in the comments section below. Kevin Helms


A student of Austrian Economics, Kevin found Bitcoin in 2011 and has been an evangelist ever since. His interests lie in Bitcoin security, open-source systems, network effects and the intersection between economics and cryptography. Brazilian Securities and Exchange Commission CVM Defines Rules to Classify Cryptocurrency Assets as Securities REGULATION | 2 days ago Ripple CEO Anticipates Answer in SEC Lawsuit Over XRP in the First Half of 2023 REGULATION | 3 days ago


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