Jeff Sica, founder of Circle Squared Alternative Investments, analyzes the cryptocurrency market and explains why it's important for Trump to save TikTok in Varney & Co.
The relationship between top Wall Street cops and the United States Cryptocurrency The industry is recovering after more than four years of friction.
on tuesday Securities and Exchange Commission announced that it will lead efforts to create a legal framework for digital assets by creating a new crypto working group.
The initiative, which will be led by Republican Commissioner Hester Pearce, was the first official action by Acting Chief Mark Ovida after he was appointed to the position. President Trump On Monday, Ovida, a Republican commissioner, will serve until Trump's permanent pick to lead the agency, Paul Atkins, is confirmed by the Senate.
It was FOX Business First reported in November That the task force was a possibility, with Hester Peirce, fondly referred to by the industry as “Crypto Mom,” expressing interest in leading such a group.
President Trump has appointed Mark Avida as the head of the Independent Election Commission
SEC Commissioner Mark Uyeda speaks at the 2024 Financial Markets Quality Conference at Georgetown University in Washington, D.C., on Sept. 17, 2024. (Al Drago/Bloomberg via Getty Images/Getty Images)
As FOX Business previously reported, the task force will work closely with industry players to create an open dialogue that will allow for a friendlier regulatory environment. Tuesday's announcement said the task force will focus on helping the commission draw clear regulatory lines, provide realistic pathways to registration, establish reasonable disclosure frameworks and wisely deploy enforcement resources. It will also coordinate with other federal agencies, including the Commodity Futures Trading Commission, which is slated to take on a larger role in cryptocurrency regulation.
The SEC, under Biden's chairman Gary Gensler, has taken more than 100 legal actions against crypto players in the past four years as the commission has tried to bring the sector into compliance using the rules.
Industry participants have long complained that the decentralized nature of cryptocurrencies and the blockchain technology on which they run precludes them from being regulated like traditional securities, namely stocks and bonds. They have repeatedly contacted regulators and Congress To develop a new regulatory framework specific to digital assets.
However, Gensler believed that traditional securities laws were sufficient to properly regulate the industry, and that most digital assets other than Bitcoin Securities sue companies that challenge this view by refusing to register with the commission.
President Trump launched his digital currency MEME coin before his inauguration
SEC Chairman Gary Gensler attends a meeting of the Financial Stability Oversight Council at the U.S. Treasury on July 28, 2023 in Washington, DC. Council met to provide an update on the climate-related financial risk committee (Kevin Deitch/Getty Images/Getty Images)
President Trump has promised lighter regulation that would benefit emerging industries such as artificial intelligence and digital currencies. Since his election on Nov. 5, he has appointed a handful of industry supporters to key leadership positions at the Treasury, SEC and CFTC, and named venture capitalist David Sachs as the first “czar” of cryptocurrency and artificial intelligence.
Get FOX Business on the Move by clicking here
Pearce and the Crypto Working Group are currently welcoming public comments on the regulations via email and will hold roundtables with industry participants in the future.
“This commitment takes time, patience and a lot of hard work,” Pierce said in an interview. press release Announcing the Initiative We look forward to working hand-in-hand to create a regulatory environment that protects investors, facilitates capital formation, strengthens market integrity and supports innovation.”