Gary Gensler, head of the SEC, opined during a speech at an event at Columbia Law School that cryptocurrency companies need to do “some sanitizing.”

The United States Securities and Exchange Commission (SEC)**, an agency of the US government, is the primary supervisory and regulatory authority for the American securities market.

He stressed the importance of disclosure by financial institutions to ensure transparent markets and protect the interests of investors. However, some participants in the cryptocurrency industry are trying to avoid registration obligations, which could undermine the effectiveness of regulation.

In his speech to Columbia Law School, published March 22, Gary Gensler concluded his speech y to the approach of cryptocurrency companies to regulatory regulation.

“There are participants in the cryptocurrency securities markets who seek to circumvent these registration requirements. No registration means no mandatory disclosure. Many would agree that the cryptocurrency markets could use a little disinfectant,” noted the SEC Chairman.

SEC AGAINST THE CRYPTO MARKET

Gensler’s remarks come as the SEC is taking a series of enforcement actions and filing lawsuits against major cryptocurrency companies, including Kraken, Binance, Ripple and Coinbase. Many cryptocurrency players and human rights organizations are calling on the SEC to establish clear rules of the game to ensure innovation continues.

The SEC has reportedly issued subpoenas as part of its campaign to finally classify Ethereum as a regulated security. Over the past two years, the SEC has intervened in the approval of cryptocurrency exchange-traded products intended for trading on US exchanges, including investment vehicles related to ETH and BTC futures, as well as the first BTC funds.

In turn, representatives of the crypto market also do not stand aside. Cryptocurrency exchange Coinbase has been calling on regulators for several years to develop clear rules for the cryptocurrency industry. The company filed a petition against the SEC in July 2022 and went to court in April 2023. However, Gensler denied these claims, saying that existing laws apply to digital assets.

AML CRYPTO OPINION

Our company, like most representatives of the crypto market, is no stranger to extravagant statements by the head of the SEC and attempts at tough actions to strengthen regulatory policy. As before, such actions are explained by concern for the safety of cryptocurrency users and their funds. But in such matters, a balance is important between protecting the interests of users and preserving the basic principles of the blockchain.

We also remind you that you can check your crypto wallet for purity, perform an AML address check, and track a transaction — this and not only you can do in our solution Btrace. Free AML wallet verification for each new user.