SEC’s Katherine Reilly Highlights Bitcoin-Related Fraud as Major Priority Amid $3.96 Billion Losses

COINOTAG News, May 20th — In a significant move for investor protection, Katherine Reilly has assumed the role of Acting Inspector General of the U.S. Securities and Exchange Commission (SEC). Highlighting the urgent need for regulatory oversight, her office has marked cryptocurrency fraud as a critical supervisory focus. A recent disclosure revealed that in 2023, a staggering 18% of all investor complaints received by the SEC were linked to cryptocurrency scams, leading to losses exceeding $3.96 billion for retail investors. Reilly’s appointment comes at a pivotal moment following the retirement of Deborah Jeffrey and her experience notably includes spearheading the investigation into the notorious 2024 SEC Twitter hack, which resulted in a sudden $1000 drop in Bitcoin prices. This prioritization of crypto regulation signals the SEC’s commitment to safeguarding investors against rising fraudulent schemes.