SEC Commissioner Expresses Regret Over Bitcoin ETF Approvals
The Commissioner of the United States Securities and Exchange Commission (SEC), Hester Peirce, recently expressed remorse over the agency’s handling of spot Bitcoin ETF approvals. According to Peirce, the SEC missed out on numerous opportunities to approve these products earlier, despite the standard applied to other commodity-based ETPs. It took a court case to push the SEC to approve spot Bitcoin ETFs. However, Peirce clarified that court intervention will not be necessary for Ethereum ETF approvals. She believes that the agency should not require a court to point out its flawed approach in order to make the right decisions.
SEC Chair Gensler’s Stance on Bitcoin ETFs
In contrast to Peirce’s comments, SEC Chair Gary Gensler maintained a cautious tone regarding Bitcoin and products tied to crypto. Although the SEC approved several spot Bitcoin ETFs recently, Gensler emphasized that this approval did not imply endorsement or approval of Bitcoin itself. He urged investors to remain cautious due to the risks associated with cryptocurrencies. Gensler has faced criticism for his handling of spot Bitcoin ETF approvals, particularly following a hack on the SEC’s account. The hack was attributed to a “SIM swap” attack facilitated by the agency’s decision to disable multi-factor authentication.
Criticism from Ripple CEO
Ripple CEO Brad Garlinghouse publicly criticized SEC Chair Gary Gensler, considering him a political liability and suggesting that his actions are not in the best interest of citizens or long-term economic growth. Garlinghouse expressed hope for a new chair of the SEC in the future.
Hot Take: Evaluating the SEC’s Approach
It is evident from Commissioner Peirce’s remarks that there is a recognition within the SEC that opportunities were missed in the past regarding Bitcoin ETF approvals. The agency’s cautious approach and Gensler’s emphasis on risks indicate a conservative stance towards cryptocurrencies. While criticism from industry leaders like Brad Garlinghouse highlights discontent with the current SEC leadership, it remains to be seen how this will impact future regulatory decisions and the overall crypto market.
By
By
By
By
By