Gary Gensler, chairman of the U.S. Securities and Exchange Commission (SEC), said that in terms of regulating cryptocurrencies, the current U.S. securities regulations can achieve regulatory purposes, and there is no need for additional legislation. He also pointed out that although the rules of the cryptocurrency market exist, the industry is still “full of irregularities.” When asked whether “the SEC will take enforcement actions against Binance”, Gary Gensler refused to respond.
After Wednesday’s House Appropriations Committee hearing, Gary Gensler said in an interview that existing securities laws “cover most activities in the cryptocurrency market” and that cryptocurrencies do not require additional legislation, but if Congress takes action, lawmakers should avoid Violation of existing laws.
During the House hearing, Gary Gensler also told lawmakers that regulations already exist to regulate cryptocurrencies, “that’s securities regulations.” He told reporters after the meeting:
In my opinion, if more legislative steps are taken, it will weaken the securities jurisdiction instead.
Gary Gensler pointed out that “Only the SEC and the courts can define what is a security, and the choice is not in the hands of cryptocurrency exchanges.” However, he declined to answer questions about whether the SEC intends to file a lawsuit against Binance, saying only that the SEC has taken action against other exchanges.
Gary Gensler reiterated that most cryptocurrencies are securities, emphasizing that all foreign entities offering services to sell tokens to U.S. investors must comply with securities laws. He said:
If you are approaching US investors to sell these tokens to them, then you must comply with the securities laws or the laws of the US Commodity Futures Trading Commission (CFTC).