Gary Gensler, chairman of the Securities and Exchange Commission of the US federal government, continues to make repeated statements about the crypto industry.
Gensler spoke about the allegations made about his institution and regulations in a video statement he shared on his social media accounts. The head of the SEC stated that the regulations for the crypto market are clear, but there are compliance issues.
Intermediaries for investment contracts are required to comply with securities laws & register with @SECGov.
Instead, many crypto platforms are contending that their investment contracts are something else.
The law cares about what something actually is, not what you call it.
— Gary Gensler (@GaryGensler) April 27, 2023
“The services that brokerage firms provide to their clients require formal investment contracts and registration with the SEC. While crypto exchanges and companies bear the same responsibility, industry leaders are bending the term investment contract. The law is concerned with what something really is, it doesn't care about subjective definitions.”
Gensler implied that crypto companies are "trying to make a dog look like a goldfish" and are trying to evade regulation.
The head of the SEC stated that the laws are very clear, emphasizing the following words:
"It doesn't matter how you call yourself or your services. If you offer securities services to citizens in the United States, you must comply with our laws."
Gary Gensler's latest statement has led to comments that Federal agencies will put more pressure on the industry.
