SEC Rejects Coinbase's Petition for New Regulatory Framework for Digital Asset Industry
The U.S. Securities and Exchange Commission (SEC) has rejected a petition by Coinbase requesting additional regulatory guidance for the digital asset industry. The SEC stated that Coinbase has not provided sufficient evidence to justify the creation of a new regulatory framework.
SEC Will Continue Using Enforcement Actions As A Substitute For Rulemaking
The US Securities and Exchange Commission (SEC) has responded to Coinbase's petition for a writ of mandamus, stating that it will continue to initiate enforcement actions in the absence of clear crypto regulations. The SEC has also advised the crypto industry not to consider Chair Gary Gensler's public statements as formal guidance for regulation. Coinbase's Chief Legal Officer, Paul Grewal, shared on Twitter that the SEC's response to its request for rulemaking for the crypto industry was a "resounding maybe". The SEC urged the court to deny Coinbase's mandamus petition, claiming that it was "baseless".
SEC Denies Coinbase’s Request for Clarity on Crypto Regulations
The U.S. Securities and Exchange Commission (SEC) has rejected Coinbase's request for more clarity on cryptocurrency regulations. In response to Coinbase's petition for a Writ of Mandamus, the SEC filed a brief stating that it was not willing to provide any clarity on crypto regulations. The regulator argued that new regulations were unnecessary as digital assets are already considered securities. Coinbase had previously called for productive dialogue with the SEC, but the regulator's response indicates that they are not interested in cooperating with crypto firms.
SEC responds to Coinbase's call for clear crypto regulation, stating rulemaking may take years and enforcement actions will suffice for now
The U.S. Securities Exchange Commission (SEC) has responded to Coinbase's petition for clear crypto regulation, stating that any rulemaking may take years and that enforcement actions will suffice in the meantime. The SEC argued that it is not obligated to meet Coinbase's requirements and that the firm has called for a complex set of reforms and rule-making in a short amount of time. Coinbase's chief legal officer, Paul Grewal, said that the SEC's response has added further confusion to the vague treatment of crypto in the U.S. and that there is still a lot left needing clarification. The SEC also distanced itself from the comments and views of its chair Gary Gensler, who has been adamant that there are already sufficient rules in place.
SEC Chair Gary Gensler Asserts Adequate Crypto Regulations Already in Place, Pushes Back Against Coinbase Petition
Gary Gensler, the chair of the United States Securities and Exchange Commission (SEC), has responded to Coinbase's petition for clear crypto regulation by stating that there are already sufficient laws in place. Gensler argued that the SEC has already published rules for custody assets, exchanges, broker dealers, advisors, and securities offerings. He also stated that most crypto assets, apart from Bitcoin, fall under the securities definition of an investment contract. Coinbase and other US crypto firms have criticized the SEC's lack of clear regulation and its "regulation by enforcement" approach to crypto.
'Accountability for Cryptocurrency in El Salvador (ACES) Act' Reintroduced in U.S. Senate
U.S. Senators Jim Risch and Bob Menendez have reintroduced the "Accountability for Cryptocurrency in El Salvador Act," also known as the "ACES Act," for discussion in the U.S. Senate. The proposed legislation aims to examine the impact of bitcoin's adoption as legal tender in El Salvador on the country's financial stability and its ability to combat money laundering and illicit finances. The act would require the Secretary of State and the Secretary of the Treasury to produce a report on the adoption of bitcoin and legal tender in El Salvador, including its impact on the personal economy of Salvadorans and compliance with guidelines issued by the Financial Action Task Force. Salvadoran President Nayib Bukele has expressed his disbelief at the U.S. government's concerns over their adoption of bitcoin as legal tender.
Billionaire Paul Tudor Jones says bitcoin has a "real problem" with unfriendly regulation in the US
Billionaire hedge fund manager Paul Tudor Jones has expressed concerns about bitcoin's regulatory challenges in the United States. In an interview with CNBC, Jones stated that the entire regulatory apparatus in the US is against bitcoin. Despite this, Jones plans to continue investing in bitcoin as a small diversification of his portfolio. US regulators have differing views on bitcoin, with the Securities and Exchange Commission considering most cryptocurrencies as securities, while the Commodity Futures Trading Commission views bitcoin as a commodity. Lawmakers are working on bills to clarify the classification of cryptocurrencies as securities or commodities.
Bloomberg Report Finds Serious Problems With Crypto Companies
Bloomberg News has conducted an investigation into transparency and reporting practices in the crypto industry, focusing on 60 companies that met certain criteria. The findings reveal that many companies operate outside commonly accepted norms and lack governance to prevent another crisis. Shockingly, only 63% of the crypto firms surveyed had an independent board of directors, and about half of them currently use a third-party independent auditor. Mazars, a Paris-based firm, reportedly distanced itself from the crypto industry due to concerns regarding the way reports are understood by the public. These findings should worry observers and highlight the need for the industry to catch up with industry standards.
MechaFightClub NFT Game 'Paused Indefinitely' Due to US Regulations
Irreverent Labs, the creators of MechaFightClub, have announced an indefinite pause in the development of their Solana-based cock-fighting NFT game due to regulatory challenges surrounding the future of crypto in the United States. The game had reached "alpha" status, but its makers believe that the lack of clarity in regulations makes it difficult for organizations such as theirs to operate. The United States Securities and Exchange Commission (SEC) has increased its enforcement actions against crypto start-ups and platforms, creating huge friction. The team has also announced a repurchase program for any MFC NFT from the genesis mint. The game may resurface in the future in another form, but right now, nothing is certain.
XRP Consolidates Above 200-Day Moving Average, Risks of Bullish Breakout Rising Amid Ongoing Legal Battle with SEC
XRP, the cryptocurrency behind the XRP Ledger, is currently consolidating above its 200-Day Moving Average but has been in a downtrend since mid-April, leading to negative price predictions. If XRP does not break out of this downtrend, it may retest the 200-Day Moving Average and potentially even fall below it, leading to a retest of March lows. The conclusion of the legal battle between the US Securities and Exchange Commission and Ripple could be a potential catalyst for an XRP surge, but it may take a few years and further fiat currency debasement for XRP to post significant gains. Investors may want to consider diversifying their crypto holdings by investing in presales of projects with a great vision for delivering revolutionary crypto applications/platforms. Cryptonews has compiled a list of the 15 best crypto presales of 2023, according to their project evaluation, to assist investors in identifying such projects. Please note that the Industry Talk section contains insights from crypto industry players and is not part of Cryptonews.com's editorial content.
