President Trump’s SEC is ramping up its efforts to investigate the booming cryptocurrency space, especially now as prices coin case bitcoin hardware skyrocketing. 92027 single-format-standard sec-ramps-up-crypto-oversight-hires-coin-etf-expert global-block-template-1 td-magazine single_template_2 wpb-js-composer js-comp-ver-5.
This comes directly after two key executive appointments this year along with ever-more attention drawn to the ecosystem due to bitcoin’s stratospheric price rise. 11 December from SEC Chairman Jay Clayton. There are tales of fortunes made and dreamed to be made. His audience was both regular investors and professionals. Underscoring the borderless nature of cryptocurrencies, Mr.
Clayton highlighted how trading can occur in different countries all over the world. Your invested funds may quickly travel overseas without your knowledge. As a result, risks can be amplified, including the risk that market regulators, such as the SEC, may not be able to effectively pursue bad actors or recover funds. The technology on which cryptocurrencies and ICOs are based may prove to be disruptive, transformative and efficiency enhancing. Within the scope of the Mr.
Munchee and others would buy and sell goods and services using the tokens. The company’s proposal seemed to be rewarding reviews with proprietary tokens, along with selling restaurant advertisements. SEC detailed, noting these suggestions makes Munchee fall squarely under the agency’s purview. Though the SEC effectively destroyed the ICO and their business, Munchee was spared further punative action by the agency.
ICO quickly, immediately returned the proceeds before issuing tokens, and cooperated with the investigation. The company cooperated without admitting to wrongdoing. Dalia Blass Director of its Division of Investment Management. Winklevoss efforts at a regulatory-approved ETF. S Treasury, Fidelity, Prudential, T. Rowe Price, Schwab, Vanguard, among others.
She focused on two initiatives, one investor-centered and one fund related. For investors she is seeking more transparency and engagement by funds, more information to help them make better decisions. The second part of her talk focused upon fund boards and how they can manage to return shareholder value while at the same time complying with complex regulation. In both cases, she urged professionals to team with her division. The SEC, she said, has questions. For example, would retail investors have sufficient information to consider these products and to understand the risks? When thinking about cryptocurrencies and other blockchain offerings as fund assets, are differences in their features important?
How would these funds fit into the existing regulatory scheme? What regulatory structure or structures apply to the market for the underlying instrument? We will be discussing these questions with you as we work through these filings. Blass claimed to be speaking only their own thoughts and not that of the agency at large.
What are your thoughts on the uptick in SEC activity? Tell us in the comments section below. Images courtesy of Pixabay, SEC, Munchee. Bitcoinocracy is a free and decentralized way to measure the Bitcoin community’s stance on a given proposition.
Edward Kelso is a long-time fintech journalist, passionately covering the cryptocurrency space since 2014. Sign up for the Bitcoin . Bitcoin News delivered to you! First, Jamie Dimon of JP Morgan Chase says he regrets calling bitcoin a fraud.