A commissioner of the United States Securities and Exchange Commission (SEC) said Friday, Feb. 8, that the delay in building up crypto regulations may enable more opportunity for the business to proceed onward its own.
Heister Peirce, who is generally known as the “Crypto Mom” in the community for her difference against the SEC’s decision to dismiss a Bitcoin exchange-traded fund (ETF) proposed by the Winklevoss twins, made the remarks in a speech on the issues of state control at the University of Missouri School of Law.
The commissioner noticed the way toward directing another industry may be lengthy, and stressed that the SEC needs to act appropriately so as to empower the industry to evolve without compromising the current laws:
“If we act appropriately, we can enable innovation on this new frontier to proceed without compromising the objectives of our securities laws protecting investors, facilitating capital formation, and ensuring fair, orderly, and efficient markets.”
#Breaking @millervalue #ValueInvesting @fintechfrank @fundstrat $BTC #Bitcoin @TuurDemeester @MelissaLeeCNBC @carlquintanilla @jimcramer #cryptocurrency #Crypto @business @crypto @coindesk @Bitcoin #LightningNetwork #lightningtorch Thank @jack @novogratz #SEC #ETF @SatoshiLite ? pic.twitter.com/UzI3afLLgf
— John M. Spallanzani (@JohnSpall247) February 10, 2019
Discussing the current delays in delivering a clearer legal framework for crypto, Peirce said that ambiguity is not that bad. She further explained:
“We might be able to draw clearer lines once we see more blockchain projects mature. Delay in drawing clear lines may actually allow more freedom for the technology to come into its own.”
— Tony Patelis (@CollegeHoopNews) January 31, 2019
On the other hand, overregulation now and then happens, Peirce lamented. She expressed that requirement activities are not her favored technique for setting expectations for crypto financial specialists. In addition, she included that some crypto ventures are basically powerless to progress within an existing framework, because “securities laws make them unworkable.”
Peirce also believes that the SEC is sometimes too hesitant in dealing with crypto projects and that investors willing to raise money might be deluded by this excessive caution:
“We rightfully fault investors for jumping blindly at anything labeled crypto, but at times we seem to be equally impulsive in running away from anything labeled crypto. We owe it to investors to be careful, but we also owe it to them not to define their investment universe with our preferences.”
— King of Kin (@IpekciAnil) January 27, 2019
Peirce infers that the U.S. Congress may resolve the ambiguities identified with crypto by essentially requiring that at least some digital assets should be treated as a separate asset class.
Messaging app #Kik is going to court after #SEC deemed its #ICO to be an unregistered security. The outcome will set the precedent on how these tokens are regulated. This is similar tech to that of #XLM and #XRP, so the final result may affect these as well.
— Weiss Ratings (@WeissRatings) January 28, 2019
An activity has just been acquainted with the House of Representatives in late December 2018. In the bill, two U.S. delegates look to prohibit advanced monetary standards from being characterized as securities by revising the Securities Act of 1933 and the Securities Act of 1934.
Lastly, I've had a few people ask me if @MizzouBaseball can make the #SEC tournament given the NCAA postseason ban (which is being appealed). No final answer just yet on that. It's not 100 percent clear.
— Kendall Rogers (@KendallRogers) January 31, 2019
Not long ago, Peirce had admitted endeavoring to persuade her colleagues “to have a bit more of an open mind” with regards to crypto adoption, yet cautioned that it may require a long time. In those days, she also urged investors not to hold their breath waiting for a BTC ETF, as in her opinion, it might happen tomorrow or in 20 years.
You can’t spell ExCuSes without #SEC…I love how every SEC loss comes with a “give (X team) credit BUT (X SEC Team) was exhausted, didn’t want to be there, had players sitting out, lacked coaching, lacked motivation. It’s never they flat out got beat. pic.twitter.com/Mnxi7buDpw
— Chad Perkins (@ChadPerkins1) February 10, 2019
— Brian Kelly (@BKBrianKelly) January 25, 2019