U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler has detailed why he considers all crypto tokens other than bitcoin to be securities. While acknowledging that crypto tokens can have different configurations, he pointed out that “at their core, these tokens are securities.”
SEC Chairman Believes All Crypto Tokens Other Than Bitcoin Are Securities
U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler explained why he thinks all crypto tokens other than bitcoin are securities in an interview published Thursday by New York Magazine. Spy.
Gensler believes the securities watchdog has all the legal tools necessary to oversee the crypto sector, the publication said, adding that the SEC boss explained that almost all types of crypto transactions already fall under jurisdiction of the SEC, except for one-time transactions in bitcoin itself and the actual buying or selling of goods or services with cryptocurrencies.
The Chairman of the SEC reportedly said:
Anything other than bitcoin… you can find a website, you can find a group of entrepreneurs, they can set up their legal entities in an offshore tax haven, they can have a foundation, they can lawyer them to try arbitration and make it difficult jurisdictionally or so on.
“They could first deposit their tokens overseas and pretend or pretend it’s going to be six months before they come back to the United States,” Gensler continued, without naming specific cryptocurrencies. He pointed out:
But basically, these tokens are securities because there is a group in the middle and the public anticipates profits based on this group.
Following Gensler’s assertion that all crypto tokens other than BTC are headlines, a number of people have taken to social media to disagree with the SEC chief. Attorney Jake Chervinsky tweeted:
Chairman Gensler may have prejudged that every digital asset outside of bitcoin is a security, but his opinion is not the law.
“The SEC doesn’t have the authority to regulate any of them until they prove their case in court,” Chervinsky pointed out, adding that it must be done “For every asset, every one, individually, one at a time”. Logan Bolinger, another attorney, also tweeted, “In this country, judges — not SEC chairmen — ultimately determine what the law means and how it applies. That’s not to say his thoughts aren’t relevant. They are simply not decisive.
What do you think about SEC Chairman Gary Gensler considering all crypto tokens other than bitcoin to be securities? Let us know in the comments section below.
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