Jesse Powell: Crypto Industry is Fairer After Binance’s $4.3 Billion Penalty
Kraken co-founder Jesse Powell believes that the crypto industry has become more fair following Binance’s settlement of $4.3 billion to resolve criminal charges against the exchange. In a tweet, Powell stated that the game now feels more fair, although many responsible peers have suffered while waiting for justice. He suggested that while companies like Kraken were complying with regulations, competitors like Binance were able to grow quickly due to a lack of regulatory enforcement.
Powell Criticizes SEC Lawsuit and Urges Crypto Companies to Leave US
Powell also criticized the U.S. Securities and Exchange Commission (SEC) for targeting easy victims such as Kraken, Coinbase, and Ripple in its lawsuits. He accused the SEC of bringing cases based on convenience rather than protecting people. Furthermore, he called the recent lawsuit against Kraken another assault on America and urged crypto companies to exit the U.S., claiming that regulators are turning it into a warzone for the industry.
Supporting Regulated Companies and KYC
Powell emphasized the importance of supporting companies that comply with regulations and urged investors to do more in this regard. While these companies may not offer zero-KYC accounts or exotic products, they contribute to building the long-term future of the industry. Powell disagreed with a user who called him a “KYC-Maximalist” and stated that onboarding the world to crypto should be the goal, making KYC necessary for any large exchange.
Hot Take: The Crypto Industry Moves Towards Fairness
The recent settlement between Binance and regulators has brought a sense of fairness to the crypto industry, according to Jesse Powell, co-founder of Kraken. With increased regulatory scrutiny and enforcement, companies that comply with regulations are now on a level playing field. Powell’s criticism of the SEC’s approach highlights the need for consistent enforcement and protection. Moving forward, supporting regulated companies and implementing KYC measures will help build trust in the industry and pave the way for wider adoption of cryptocurrencies.
Insa’s extensive background in the financial realm encompasses roles as a writer, trader, and personal finance coach. Her proficiency spans a wide spectrum, ranging from commodities and indices to forex and cryptocurrencies. Insa’s specialization lies in furnishing strategic investment advice tailored to the fintech investment niche.