US losing edge in crypto due to SEC's 'scorched earth' tactics, Robinhood exec says
Robinhood’s Chief Lawful Police execs director Daniel Gallagher blamed the US Defenses and Bazaar Commission’s (SEC) philosophy to crypto statute in devised testament submitted for a Sept. 18 hearing previously the Abode Economic Companies Subcommittee on Digital Assets.
Gallagher diligent Robinhood’s campaigns to coordinate via SEC statutes, enumerating over a stacks meetings and calls over 18 months. But, despite these campaigns, the spokesperson received a Wells alert from the SEC’s Enforcement Division in Could.
He stipulated that the SEC subordinate were periodically withdrawn to Robinhood’s implementations for referrals on transmitting onward via its enrollment proposition.
‘Seared planet philosophy’
Gallagher started the SEC’s methodology a “burnt planet” philosophy that negatively encourages US crypto capitalists.
He suggested that the absence of legible referrals on which electronic asset transactions qualify as outlay contracts remains a inherent top priority. This shame possesses led to multiple lawsuits by the SEC versus crypto companies, further interfering with arenae create.
Gallagher added that “statute by enforcement” injuries American consumers filtering for better access to electronic assets. It in addition asphyxiates modern technology in blockchain and erodes the US’s price-effective side in global electronic asset industries.
He contrasted the US via Europe, whereby the Industries in Crypto-Assets (MiCA) statute lends a united frame for crypto industries, making it possible for modern technology to thrive overseas.
Next movings for SEC
Gallagher suggested that the SEC can gain gain usage of of its existent authority under Segment 36 of the Defenses Bazaar Deportment of 1934 to elicit a frame for registering and peeking after platforms that assist in trading in electronic assets eyed outlay contracts.
He approved this rulemaking can address fulcra priorities such as enrollment, shopper coverages, wardship ultimatums, and transaction reporting. These movings, he added, can have assuaged some of the destruction induced by the FTX collapse in 2022.
Congress semblances
Gallagher florid the caution for Congress to calculate a legible, diligent governing frame for electronic assets.
He suggested that single Congress can equip the irrevocable governing readability obligatory to ensure token institution messengers, exchanges, and opposite other arenae candidates can operate without shame and shame of merciless enforcement jobs.
Such readability, according to Gallagher, is critical for preserving the US’s leadership in liable blockchain modern technology and nicely-equalized electronic asset industries.
