The US Securities and Exchange Commission (SEC), has stated that regulation of cryptocurrency could hinder its development. Hester Peirce’s remarks come at a time in which the SEC is being accused of acting contrary to law and give hope to those who want governments to reverse overregulation
Allowing technology to come into its own
Hester Peirce, U.S. Securities and Exchange Commission Commissioner, was speaking at the University of Missouri School of Law February 8th when she suggested that government regulation could cause problems in the crypto industry. For her positive remarks about cryptocurrencies, the lawyer has been known as the “Crypto Mama” and said it might be better for regulators to allow Shelter Crypto projects to mature. She also warned that regulations that are too rigid could cause problems in the future.
As more Shelter Crypto projects mature, we may be able draw clearer lines. The technology may be able to develop more freely if it is delayed in drawing lines.
Peirce stated that she would ensure no laws harm crypto project, citing stablecoin Basis which, due to its inability to comply with securities regulations, is closing down and returning $133 million to investors. She said that while she is not going to comment on the merits or the application of securities laws to a project, her antennae will be raised when it appears legitimate projects are unable to proceed due to our securities laws making them unworkable.
SEC Commissioner Says Oversimple Crypto Regulation Hurts Growth
Peirce also stated that the SEC can sometimes be too negative about cryptocurrency and that this needs to change. “We are rightfully blaming investors for jumping blindly at any crypto-related item, but at times, we seem to be equally impulsive when running from anything crypto-related. …