The debate about where the crypto currencies belonged came to light during the meeting of theUS Congress and the Securities and Exchange Commission .
Crypto currencies were also discussed at a meeting of the US representative committee on April 26th with Wall Street regulators. At the meeting, it was mentioned that the crypto currencies were still believed to have a wild ambience, and what sort of arrangements could be made. JayClayton , the president of the SEC, was in a more competent position on cryptographic currencies at this meeting because of previous disclosures.
Congressman Chris Stewart stated that his son invested $ 17 in a digital currency he did not want to give years ahead of him, and now he has a higher net asset than himself. He also returned to Clayton for the solution, saying that if necessary regulations were not made, people would not have enough knowledge to make the right decisions.
“Bitcoin is not a Security, ICOs are Not Transparent enough”
The area defined by President Clayton as a “mixed area” includes Bitcoin as a currency and ICOs. According to Clayton, Bitcoin is not seen as a security by many people.
On the other hand, the tokens used to finance a project, such as those in ICOs, are different.Clayton pointed out that almost all of these tokens are securities, and that he has not encountered the ax before, he noted that if something is considered as a security it should be regulated as a security.
The regulators are currently busy with these tokens , and the SEC wants the companies that produce the token to take an active role in this issue. President Clayton stated that the possible arrangements for securities would be in the form of announcements and that investors should follow these announcements made by the institution. The question that Clayton’s answer was “no.” Was the question of whether the Congressional member led by Stewart’s tobacco companies were sufficiently transparent when presenting themselves.
Clayton said he believes crypto-currencies are economically beneficial and have great potential.But statesmen who are obliged to enact laws are still discussing how this market should be regulated.
For example, in the first quarter of the current ICO year, $ 6.3 billion was invested. Clayton said he believes the SEC should have a mandate over these newly discovered tokens, stating that it does so within the framework of laws that we are not accustomed to seeing in normal financial markets.
As for the use of Bitcoin as a payment method outside the control of the SEC, Clayton said:
“Our statements were not prepared for the crypt currency. Our laws had a readiness for state-supported currencies. These crypto-currencies are not a state support. I could say that people need less regulation for a state-funded currency, but I can not say that for the units to be state-supported. ”
Congressman Stewart stated that they should have greater control over the crypto money market, but underlined the fact that they should not escape excessively when doing so. “Most of the regulations we’ve made to prevent a crisis have often escaped excessively,” he said. Stewart goes on to say:
“We have to fall into this problem and take precautions when a problem has not yet arisen. Otherwise, it is not true that we should come to the congress after taking care of someone and act against this situation if we are not prepared yet. ”
President Clayton said the SEC is falling on this issue.