The crypto-verse has endured immense pressure from regulators across the globe. The Securities and Exchange Commission aka SEC of the United States has been a significant entity in wrecking the plans of the crypto market. While the previous chairman of the financial regulator had time and again expressed disinterest in crypto, the latest chair was more concerned about regulating the crypto market. Now, SEC’s latest Chairman, Gary Gensler went on to list the importance of regulating the crypto industry.
Regulations have become a part and parcel of the crypto-verse. With the demand for these assets surging more than ever, regulators have begun to take a keen interest in the industry. With the inclusion of licenses and mandatory KYC and AML procedures, crypto platforms have been pushed towards setting up a safe place for investors. Despite starting off as an industry that was far from the purview of regulators, the crypto industry had to give in.
Gensler recently took over as the Chairman of the SEC. With the departure of Jay Clayton and the arrival of Gensler, the crypto-verse hoped to garner better regulations and a crypto-friendly environment in the US. Gensler, however, was focused on regulating the crypto industry.
In a recent conference, the SEC Chair went on to address the need for regulations in the crypto market.
SEC Chair on unregulated markets
Speaking at the Code Conference in Beverly Hills, California, Gensler noted that unregulated crypto markets wouldn’t end well. Gensler has time and again emphasized the importance of regulating a market. He said,
“There’s trading venues and lending venues where they coalesce around these, and they have not just dozens but hundreds and sometimes thousands of tokens on them. This is not going to end well if it stays outside the regulatory space.”
Regulators across the globe have been taking intense measures to regulate the crypto market. While several crypto platforms have been working well with these financial watchdogs, a few others were seen shutting shop. Stringent regulations could further take the essence of decentralization in the crypto market.