Gary Gensler passed his statement on the crypto industry and claimed that the Majority of the crypto assets are security.
Gary Gensler is chairman of the US Securities and Exchange Commission (SEC). In February of last year, he was appointed to chair the SEC Agency temporarily by the Joe Biden administration but later in April, Gary became the strongest person to hold the position of SEC Chairman officially. However in the past Gary taught about cryptocurrencies and also appreciated the technology, but his stances on crypto are not better, especially after his entry in the SEC agency.
On 4 April, During the Keynote speech, Gary said that he was invited ” to talk about the roughly $2 trillion crypto markets” not on behalf of the SEC Agency or CFTC Agency, which is responsible for regulating the commodity market. The SEC chairman tried to emphasize that his thoughts on crypto are his own and he will not take any reference to past statements of SEC agency or any other regulatory body of the US.
Gary said that there are many platforms in the Crypto industry and many of them are allowing the trading of crypto assets, which are meeting with the securities standard, but are unregistered with the SEC agency.
” dozens of tokens on it, at least. Many have well more than 100 tokens. As I’ll address later, many of the tokens trading on these platforms may well meet the definition of “securities.”
Gary raised questions on the stablecoins use case. He said that Stabelcoins are not issued by any government agency and are also not legal tender, so how can these be used by businesses?
Further, Gary said that not all tokens are Securities but some of them are real crypto assets, which don’t falll under securities law.
“probably only a few, are like digital gold; they may not be securities. Even fewer, if any, are operating like money.“
SEC Chairman also said that many people are raising funds with the sale of tokens to ensure that they will create an ecosystem to make the use of tokens, which is also under Securities law because fundraiser people are promising to make the value and use of the tokens.