President Joe Biden leads the selection of the US Securities and Exchange Commission (SEC). Gary Gensler revealed his policy on Bitcoin and other cryptocurrencies. If confirmed, he will become Chairman of the US Securities and Exchange Commission. Gensler is a professor at the Massachusetts Institute of Technology and teaches cryptocurrency. He previously served as Chairman of the Commodity Futures Trading Commission (CFTC).
SEC chairman nominee Gary Gensler talks about Bitcoin regulation
Professor Gary Gensler talked about the topic that he will focus on Bitcoin and other cryptocurrencies after he is confirmed as the chairman of the U.S. Securities and Exchange Commission (SEC). His statement was made during the confirmation hearing of the Senate Banking Committee on Tuesday.
Gensler is a professor at the MIT Sloan School of Management. He is also the co-director of Fintech@CSAIL and a senior consultant for the digital currency program of the MIT Media Lab. He teaches blockchain technology, digital currency, financial technology and public policy. Gensler is also a former partner of Goldman Sachs and served as CFTC chairman during the Obama administration.
At his confirmation hearing, he was asked how Congress and the SEC can create a more forward-looking regulatory environment for innovators in the cryptocurrency field.
“Just like the topics I taught at MIT, these innovations have always been a catalyst for change,” Gensler began, adding:
Bitcoin and other cryptocurrencies have brought new ideas for payment and financial inclusion, but they have also raised new investor protection issues that we still need to pay attention to.
He continued: “Therefore, I think that if it is confirmed by the US Securities and Exchange Commission, I will work with other commissioners to promote new innovations, but at the same time will also ensure that investors are protected.”
Gensler clarified: “As far as someone provides a trading contract or securities that fall within the purview of the SEC, and they trade there, then we must ensure investor protection.”
On the other hand, he said: “If it’s not like that, but Bitcoin is considered a commodity, then this is either a Congress problem… or the Commodity Futures Trading Commission’s problem.”
In addition, the professor also stated that the SEC must ensure that the crypto market is “free from fraud and manipulation,” and specified:
Frankly speaking, I think this is a bigger challenge because certain markets that are usually operated overseas are rife with fraud.
What do you think of the incoming chairman of the US Securities and Exchange Commission’s policy on Bitcoin? Let us know in the comments section below.
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