U.S. SEC chair previews path forward on crypto trading scrutiny, investor protection By Reuters


© Reuters. FILE PHOTO: Bitcoin Trading Machine is pictured in a bodega in the Manhattan borough of New York City, New York, U.S., February 9, 2021. REUTERS/Carlo Allegri/File Photo


By Katanga Johnson

WASHINGTON (Reuters) – Gary Gensler, the head of the U.S. securities regulator, said on Monday the agency is weighing how it could extend investor protections afforded to users of exchanges and alternative trading platforms to crypto trading platforms.

The expanded Securities and Exchange Commission (SEC) oversight would require the agency to register and regulate platforms on which the trading of securities and non-securities is “intertwined,” Gensler said in a virtual speech to an audience at the University of Pennsylvania, his alma mater.

The agency will also collaborate with the Commodity Futures Trading Commission–its sister market regulator–to scrutinize platforms that trade both crypto-based security tokens and commodity tokens, said Gensler, adding that a potential “segregation” of token custody between trading platform assets and customers’ assets would also be considered to help stave off theft.

“Any token that is a security must play by the same market integrity rulebook as other securities under our laws.”

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Be the first to comment

Leave a Reply

Your email address will not be published.