The SEC Is Going To Try And Step Up Regulation

in Threespeaklast month (edited)

▶️ Watch on 3Speak

As expected, the SEC is going to try and increase the regulation on the crypto industry. Gary Gensler, the new chair was making the media rounds and believes that many cryptocurrencies are securities. This means that the SEC is going to look to regulate them. It is likely will lead to the exchanges being put under the thumb.

In this video I discuss how this is an example of how government was designed in a different era and is not trying to control something it is not made for.

▶️ 3Speak


I think it’s a money grab in the guise of regulation. It doesn’t benefit the people they are supposed to be protecting. It makes little difference to the hodler if a blockchain is a security or not. Well, actually, it does. CEL token, for example, is a registered security. Consequently, a US citizen has to buy it from DeFi exchanges. XRP is in that limbo, which makes buying it iffy. EOS, for the longest time was difficult to buy in the USA. BNB would be considered a security.

I just don’t see what advantage SEC protection gives the investor.

The SEC protects the establishment which, in this case, is the likes of Goldman Sachs.

Posted Using LeoFinance Beta

Like you said if its decentralized and people just make a ton of it, then they can't fight them fast enough. The only issue is whether or not the threats of law suits would scare off potential investors and creators. All you need to know is how Lbry and XRP were hit to see how they are trying to scare people off. But they are centralized entities so it is much easier for them to be targetted.

Posted Using LeoFinance Beta

Yes they were centralized. There is still effectiveness to what they do, there is no doubt about that. But as we see with India and Nigeria, there are enough people who do not care what their governments say. Thus, that is where the big crypto thrust will come from in my opinion.

Posted Using LeoFinance Beta

It's either they go full China and they try to regulate every little thing in your life or they will only succeed in eliminating the centralized weak points and end up with decentralized entities they can't control

Posted Using LeoFinance Beta

It does appear they eliminated all middle ground.

Sad to see but that is what happens when entities are trying to stay relevant.

Posted Using LeoFinance Beta

Yup. You pretty much hit the nail on the head.

Posted Using LeoFinance Beta

Once more and more money gets involved and they start losing control of course they try and step in. What we need to remember is the government is not in control we fought wars for that shit many times. We know who abusive the government can be to it's population and how wasteful they are with money that is sent to them. Less taxes, less mega corps and we would all be in a better spot right now. Crypto is changing this and they seriously fear it.

There are for sure many new projects yet again though launching ICOs which directly makes them a security. I know of one that just recently launched and I'm just sitting over here like how the F are they getting away with this right now...

Well if they do it small, they fly under the radar. Plus, if enough are doing it they have to justify their time so they got after the big cases like Block.One where they can get a nice check out of the deal.

I agree. Crypto is allowing us to take control and basically tell them to kiss off. The more stuff that is decentralized, the harder it is for the government to step in.

Posted Using LeoFinance Beta

EXACTLY! The ONLY time the SEC gets involved to "investigate" something is when there is enough money that they and make their lawyers get paid as well as taking a huge cut for themselves. The investors hardly ever see any of it. The SEC is not there to protect people anymore instead it's another arm of the government to generate funds.

It is the same with the IRS.

They dont mess, typically, with the mega wealthy because those accounts and attorneys will tie things up forever. Nor do they go after the poor since there is no blood in a turnip.

But those with a few dollars, but not enough to hire the best legal beagles, they are targeted.

It is all about the bucks.

Posted Using LeoFinance Beta

Bang, I did it again... I just rehived your post!
Week 56 of my contest just can now check the winners of the previous week!

The sooner the better. Crypto is full of scams, fake exchanges that take the money and run and plenty of fake projects.

I wonder if this will lead to more companies creating separate entities for the American market, sort of like how Binance does it right now.

Posted Using LeoFinance Beta

My understanding is they (IRS) secured subpoena's for two US crypto exchanges. The exchanges have to hand over the information to the owners of the accounts. If the owners use fake names they said they have the tools to track them, they said one thing about crypto holders is they think they are untraceable but they said there is nothing further from the truth in that regard. What they are looking at is when a crypto is sold and the gains on the crypto's sold. So you can hold crypto's it's when you go to sell them.