SEC Employee Reveals Optimistic Cryptocurrency Plans at SXSW

SEC Employee Reveals Optimistic Cryptocurrency Plans at SXSW

Author: Dylan B
Date: 
March 19, 2019
Read time: 
3 minutes

Valerie Szczepanik, the senior advisor for digital assets at the United States Securities and Exchange Commission, spoke of an optimistic future in the cryptocurrency at an SXSW (South by Southwest event) in Austin, Texas:

Valerie Szczepanik, the senior advisor for digital assets at the United States Securities and Exchange Commission, spoke of an optimistic future in the cryptocurrency at an SXSW (South by Southwest event) in Austin, Texas:

“I do think if we hope to smell the crypto spring in the air, it will take people walking with the regulators… But I do think the spring is going to come.”

While she does note that the regulations put forth by the SEC are not exactly clear and do not give potential entrepreneurs within the space an exact picture of what they should expect, this lack of clarity helps the technology to flourish as it should rather than guiding it a certain direction and potentially leading it to an early grave. When asked about stablecoins, for example, she stated that complex mechanisms like these are not given definitive guidelines but are treated as they should be under the law when it is determined what effects they produce.

cryptomaniaks

Szczepanik also talked about SEC’s new branch Finhub, which focuses on researching and regulating the cryptocurrency industry. She states that working with such sections serves to help crypto companies rather than harm them. For example, Gladius, a cybersecurity company that recently came under the microscope by the SEC was given a break by them as they had communicated with the SEC regularly and self-reported their information. She drove the idea home that it is best for growing cryptocurrency businesses to seek help from regulators in the beginning in order to ensure success in the U.S. market and to become the gold standard.

She wrapped up her time by talking about no-action letters, which are letters written by the SEC that state that the SEC has reviewed a business and will take no action against it. She has talked about this before but, unfortunately, there have been no letters issued insofar to any crypto-based businesses. Szczepanik again emphasized the need to cooperate with and seek help from regulators and concluded with the following statement:

We’d much rather have people come and ask us before they do something rather than coming and asking for forgiveness.

For investors, laws and regulations are typically much clearer. Have you begun investing in cryptocurrency? If not, have you simply not been able to locate the proper resources to help you begin your investment journey? Fortunately enough, we have the perfect resource for you. To get started as a crypto investor, simply visit our ultimate cryptocurrency investment guide for beginners to start today!

Posted by Dylan B

Dylan Buckley is a writer based in California. He became interested in cryptocurrency upon discovering it in 2014 and soon started investing as well as writing for a wide variety of clients and crypto-startups in the space. When he is not producing content for individuals and businesses, he is typically working on his own self-development content or making music.

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