SEC’s Crypto Enforcement Chief Indicates Increased Crackdown: Expect More Charges

SEC Crypto Head Anticipates Tougher Enforcement

Amidst the attention on the XRP case and lawsuits involving Coinbase and Binance, the U.S. Securities and Exchange Commission (SEC) is expected to target more violators in the crypto community. David Hirsch, head of the SEC’s Crypto Assets and Cyber Unit, made this announcement at the Securities Enforcement Forum Central in Chicago.

Hirsch emphasized that the SEC will continue to bring charges against intermediaries such as brokers, dealers, exchanges, and clearing agencies that fail to meet their obligations. This includes failure to register or provide adequate disclosures.

Recent Crackdowns

The SEC has already taken action against prominent crypto companies like Binance, Bittrex US, and Coinbase. Additionally, it has focused on undisclosed non-fungible token (NFT) projects that raised significant funds.

Hirsch confirmed that more enforcement actions are forthcoming. The SEC remains committed to conducting investigations and addressing violations in the space, regardless of whether projects are labeled as decentralized finance (DeFi).

Ongoing Litigation

In addition to pursuing enforcement actions against exchanges and brokers, the SEC claims that the market capitalization of crypto coins classified as crypto securities amounts to $85.4 billion.

Hot Take: SEC Intensifies Efforts in Crypto Enforcement

The recent statements by David Hirsch indicate that the SEC is ramping up its efforts to enforce regulations within the cryptocurrency industry. With a focus on intermediaries and undisclosed projects, it’s clear that the SEC is determined to hold violators accountable for their actions. The continued scrutiny from the regulatory body serves as a reminder for all participants in the crypto space to ensure compliance with registration requirements and transparency standards. As the SEC intensifies its enforcement activities, it is crucial for individuals and companies to stay updated on regulatory developments and proactively address any potential compliance issues.