Chairman of the U.S. Securities and Exchange Commission (SEC) Gary Gensler wants to apply greater pressure on crypto exchanges to bring them inside the market regulator's purview.
- Gensler aired his concerns about the dangers to consumers if crypto exchanges are not properly regulated in a virtual press conference on Wednesday, according to a report by Bloomberg.
- "I've asked staff to look at every way to get these platforms inside the investor protection remit," he said.
- "If the trading platforms don't come into regulated space, it'd be another year of the public being vulnerable," he added.
- Gensler had previously expressed his desire to see crypto exchanges registered with the SEC for the purposes of investor protection.
- In December, he said in an interview that exchanges are "doing a lot more than just trading," given how they also hold crypto tokens and sometimes trade against their customer base.
- Gensler, during his nine-month reign as chairman of the SEC, has maintained his stance that most crypto tokens are akin to securities and are therefore within the remit of the regulator.
The leader in news and information on cryptocurrency, digital assets and the future of money, CoinDesk is a media outlet that strives for the highest journalistic standards and abides by a strict set of editorial policies. CoinDesk is an independent operating subsidiary of Digital Currency Group, which invests in cryptocurrencies and blockchain startups. As part of their compensation, certain CoinDesk employees, including editorial employees, may receive exposure to DCG equity in the form of stock appreciation rights, which vest over a multi-year period. CoinDesk journalists are not allowed to purchase stock outright in DCG.