Recently, the U.S. Securities and Exchange Commission (SEC) has made a 180-degree turn in its attitude towards cryptocurrency regulation, moving from a previous 'aggressive' and 'overly' strict stance to a more friendly approach.
Republican commissioner Hester Peirce stated in an interview with Fortune magazine that the SEC is establishing a clear regulatory framework, and some of it can be finalized this year.
Peirce mentioned that the SEC recently dismissed or paused multiple lawsuits against major companies such as Binance, Coinbase, and Kraken, and also ended long-standing investigations into Gemini, Robinhood, and Yuga Labs without taking any substantive enforcement actions.
She pointed out that many lawsuits are still 'in preliminary stages', but she also made it clear that if cryptocurrency companies engage in misconduct, they will not receive 'immunity'.
She further pointed out that legal litigation should not become a game of 'hide and seek', as many courts take too long to address this issue, making the proceedings seem futile.
The SEC's latest measures were implemented against the backdrop of the Trump administration's efforts to end 'aggressive enforcement actions', aiming to alleviate 'overregulation' of digital assets and promote the development of the crypto industry.
Reports indicate that Peirce opposes establishing a 'nanny government' to protect investors from making 'wrong choices'. She noted that people lose money on many things, and if judged by this standard, it would excessively expand the SEC's authority. However, she also stated that the SEC will continue to advance the crypto regulatory framework, including clarifying the security standards for digital assets.
Overall, the SEC is working to 'get back on track to truly use other tools to formulate policy', rather than using enforcement cases as 'a way to develop regulatory policy'.
At the end of the interview, Peirce firmly stated that clear regulations in the cryptocurrency field should have been formulated and published long ago. In my ideal scenario, such regulations should have been released five years ago.
So, friends of cryptocurrency, it seems that the SEC is moving in a direction more favorable to the industry. Let's wait and see what new changes this year will bring!
Conclusion:
The shift in the SEC's regulatory attitude marks a transition in U.S. cryptocurrency regulation from 'enforcement-driven' to 'framework-first'. This change not only alleviates the industry's concerns about 'overregulation', but also provides clearer guidelines for the long-term development of the crypto market.
However, the establishment of a regulatory framework still faces challenges. How to balance investor protection with promoting industry innovation, and clarifying the 'securities nature' of digital assets, are issues that will be key for future policy implementation.
Do you think the SEC's shift in regulatory attitude is a great benefit for the crypto market? How can we promote a regulatory framework without hindering innovation and development in blockchain? Leave your thoughts and suggestions in the comments!