The Securities and Exchange Commission that regulates how cryptocurrencies are registered, according to Mark Cuban, would be nothing short of a “nightmare.”
Billionaire “Shark Tank” star and owner of the Dallas Mavericks chirp That sentiment over the weekend, after a tweet from Senator Patrick Tomei (R-PA) criticized the Securities and Exchange Commission.
Tommy Out-of-service What he described as an “enforcement-regulatory approach” to the crypto industry by the agency, which was recently File civil and criminal charges Against three individuals, including a former Coinbase employee, accused of illegal insider trading.
Today we announced insider trading charges against a former Coinbase product manager, brother, and friend for perpetrating a trading scheme ahead of multiple announcements related to certain crypto assets that will be available for trading on the Coinbase platform.
– US Securities and Exchange Commission (SECGov) 21 July 2022
In court filings, the SEC claimed at least Nine Cryptocurrencies Unregistered securities are traded on the Coinbase exchange. Tommy thinks it would have been better if the SEC had made it clear what it would take to classify digital assets as a security before charging individuals.
“Yesterday’s enforcement action is a perfect example that the SEC has a clear say on how and why tokens are classified as securities,” he said. “However, the Securities and Exchange Commission failed to disclose its view before initiating enforcement action.”
But the SEC’s regulatory-by-enforcement approach to digital assets poses a serious challenge to any bona fide innovator striving to comply with current laws and regulations. Providing regulatory clarity before enforcement will benefit regulators and investors alike.
The senator added that the SEC’s actions will make it difficult for investors and innovators to comply with laws and regulations due to a lack of transparency or clarity.
“I think that’s bad? Wait until you see what they come up with to record the icons” Cuban He said. “This is the nightmare that awaits the crypto industry.”
I think this is bad? Wait until you see what they come up with to register the codes. This is the nightmare that awaits the cryptocurrency industry. Otherwise, how can you keep thousands of lawyers on staff and create reasons to demand more taxpayer money? https://t.co/eoDAiyDxlR https://t.co/mjr9LxnDZB
It is also related to video Asked for guidance from the Securities and Exchange Commission (SEC) on insider trading rules in 2014, he expressed frustration with his guidance on no-action letter filing rules dating back to 1980, saying they were unclear.
“This certainly will not help any ordinary individual who is thinking of buying shares in the market,” he said in the video. “It won’t help them understand insider trading, and it won’t give them comfort because they are doing everything they can to not break the law.”
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