SEC To Give Response To US Senator Elizabeth Warren Regarding Cryptocurrency Regulations By July 28

Elizabeth Warren, a United States Senator, has given a very strong comment on the crypto market on the 8th of July based on the lack of regulation and the high volatility in the space. She then submitted a request through a letter to the chairman of the Securities and Exchange Commission, Gary Gensler, for him to look into what can be done.

In the statement she made, she said, “the use of crypto exchanges and the demand for crypto generally has increased so rapidly but unfortunately is left running without regulations making the market and its investors susceptible to manipulations and fraud.” The lack of protection for investors is the main subject of the letter and the US. Senator asked the SEC to use their power to bridge the gaps.

The ultimatum for an answer from Gary Gensler, as Warren stated, is July 28, which coincides with when he intended to start regulating the space. The letter sent by Elizabeth was examined by Reuters, and it was found out that it is centered around the “close-to” $80 million losses to scams this year running, and no comments have been provided on it either from the chairman of the SEC.

However, there is a convergence on Senator Warren’s request and the focus of the SEC chairman as the emphasis on the need for protecting investors is so strong to be denied. Nothing substantial has come out of this yet, but it is needful to stress that the crypto space is still quite novel.

The chairman of the Securities and Exchange Commission has mentioned that he would seek counsel from the United States Treasury on this subject matter whose secretary, Janet Yellen, is an anti-crypto. Recently among many other things, compliance to the anti-money laundering standards, market manipulations, investor protection are the major priorities of government officials when talking about cryptocurrency regulations.

Cryptocurrency legislation in the United States is on the horizon.

As rumored earlier this year, the whole of the United States is looking to get a more comprehensive regulatory framework. Recently after the Colonial Pipeline incident, the government of the United States has placed more attention on cybersecurity also.

Senator Elizabeth Warren has commented on her position on the crypto market on many occasions, and it has always been critical. In one of her past comments, she suggested CBDC take over from private digital currencies as they have failed to live up to expectations and promises.

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