The US Securities and Exchange Commission’s (SEC), commissioner has suggested that cryptocurrency regulation could actually hinder the technology’s progress. Hester’s comments, which come at a moment when the SEC has been accused in contrarily, are a sign that people want governments to take a step back and prevent excessive regulation
Technology can be made to work for you
Hester Peirce from the U.S. Securities and Exchange Commissary was speaking at University of Missouri School of Law, February 8, when she implied that government regulation could lead to problems in the crypto market. This lawyer, known as “Crypto Mother” because of her positive views on cryptocurrencies, suggested that regulators should step back and let Shelter Crypto projects mature. Overly-drafted regulations could be detrimental to the industry.
Once more Shelter Crypto projects mature, it is possible to draw clearer boundaries. It is possible that the technology will be more free if we delay in drawing clear lines.
Peirce indicated that she would monitor the laws that affect crypto projects. She cited stablecoin Basis as an example, which closed down and returned $133 million to investors because of difficulties in complying with securities regulations. She stated that she would not comment on the merits of any project or how securities laws apply to them, but her antennae will rise when legitimate projects are stopped by our securities laws.
SEC Commissioner: Excessive Crypto Regulation Harms Growth
Peirce stated that sometimes the SEC might be too negative towards cryptocurrency, and that this should be corrected. Investors owe it their responsibility to be cautious but also to refrain from defining their investment universe with their preferences.
Diverse Perspectives Are Required Charity Token Homeless
Peirce’s comments are made at a time when it is unclear what the SEC thinks about cryptocurrency. The SEC was right to take enforcement action against initial coin offering and other fraudulent crypto companies last year. Peirce said that this does not mean that regulators or government agencies should automatically be skeptical of all information coming from the crypto sector.
Angela Walch, a professor at St. Mary’s University School of Law who is also a researcher fellow at the Centre for Shelter Crypto Technologies, University College London, previously stated that it was important for regulators have a “diverse outlook” as they too often become too focused on protecting financial systems and indifferent to the benefits of innovation and cryptocurrencies.
