- SEC Chairman Gary Gensler voices concerns over fraud and manipulation in cryptocurrency markets.
- Gensler’s comments come in the wake of pending Bitcoin ETF applications.
- The SEC is currently evaluating the latest application process, which is backed by investment giant BlackRock and largely based on surveillance sharing agreements with Coinbase.
SEC Chairman Gary Gensler has expressed his worries about the prevalence of fraud and manipulation in the cryptocurrency industry, particularly in the context of pending Bitcoin ETF applications. The SEC is presently assessing the most recent application process, supported by BlackRock and largely founded on surveillance sharing agreements with Coinbase.
Gensler Raises Alarm Over Fraud and Manipulation in Crypto Trading Platforms
In a recent television interview, Gary Gensler, the Chairman of the Securities and Exchange Commission (SEC), shared his concerns about the cryptocurrency market. This comes at a time when questions are being raised about pending applications related to spot Bitcoin exchange-traded funds (ETFs).
SEC’s Stance on Pending Bitcoin ETF Applications
Gensler refrained from making a definitive statement as the five-member SEC commission is currently in the process of evaluating the latest application process. This process is backed by investment behemoth BlackRock and is largely based on surveillance sharing agreements with Coinbase. However, during the interview, Gensler did express his worries about the widespread fraud and manipulation in the cryptocurrency industry.
Gensler’s Concerns About Fraud and Manipulation in the Crypto Industry
In his statement, Gensler highlighted the rampant inconsistencies in the crypto space. He pointed out that even though some platforms that trade various crypto tokens may fall under securities law, they currently do not have to comply with proven protections against fraud and manipulation.
Conclusion
In conclusion, the concerns raised by SEC Chairman Gary Gensler about fraud and manipulation in the cryptocurrency industry are significant. As the SEC continues to evaluate pending Bitcoin ETF applications, it is clear that the regulatory body is keeping a close eye on the operations of crypto trading platforms. The industry will be waiting to see how these concerns will impact the future of Bitcoin ETFs and the wider cryptocurrency market.
