Gary Gensler, Biden’s pick for SEC Chairman, on “Cryptocurrency and Illicit Activity”

(Last Updated on January 20, 2021)

“The regulatory space, as with any new technology, is looking at this technology and trying to say, “live within public policy norms and frameworks?”

What does that broadly mean?

We don’t really want illicit activity to move to this new technology and in the U.S. and most countries it’s pretty clear that the tax regimes this is property and its not currency. The anti-money laundering and anti-terrorist regimes that you’ve got to keep track of who buys and sells this.

I think its pretty clear in that space.

I think where its less clear, if you wish, is in the investor protection space.

I think guarding against illicit activity, you still have to pay your taxes if you buy and sell this stuff. It’s property and you really can’t fund terrorist or try to promote the dark web or drug trafficking.

But investor protection in the U.S. in sense most ICOs are probably securities and most of them are capital raising functions and yet they are not really complying with securities laws.

And the exchanges who list those ICOs are not complying with securities laws in listing those securities.”

Gary does not see major illicit activity in Bitcoin and he was the CFTC Chairman.

I think we are in pretty good hands with Gary Gensler, especially when compared to an under informed and largely generalizing Janet Yellen. He will bring more regulation to protect investors from initial coin offerings (ICOs) and other scams that are prevalant in cryptocurrency.

Especially good for beginners who do not have a lot of knowledge and/or experience in the crypto space and are tempted to invest in these “new” platforms.

We have seen a lot of “potential” investors get hurt while trying to enter the digital asset space due to lack of technical abilities and knowledge regarding cryptocurrencies.

This could be needed to really onboard a lot of the traditional money around the globe while protecting the decentralization and ideals in Bitcoin.

Which he goes onto promote next while pointing out the problems with centralization in ALL other cryptocurrency from Ethereum on down.

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