U.S. congressman Brad Sherman has known as on the Securities and Exchange Commission (SEC) to “take decisive action to place an finish to the regulative gray area in which the crypto business has operated.” He other that he plans to figure along with his colleagues in Congress within the returning weeks “to examine choices for federal legislation.”
Rep. Brad Sherman on Cryptocurrency Regulation
Congressman Brad Sherman (D-CA), chairman of the committee on capitalist Protection and Capital Markets, released a press release concerning the implosion of cryptocurrency exchange FTX on Sunday.
FTX’s “sudden collapse” has been “a dramatic demonstration of each the inherent risks of digital assets and the critical weaknesses within the trade that has mature up around them,” the lawmaker described.
Noting that “We do not yet know the scope of monetary damage caused to consumers and investors within the U.S. and round the world,” Sherman stressed:
It is crucial that we develop a clear understanding of the chain of events and management failures that led to this collapse. I fully support the efforts of U.S. regulators and law enforcement to investigate this situation and make sure those responsible are held accountable.
The congressman explained that for years, he has “advocated for Congress and federal regulators to require an aggressive approach in effort the various threats to our society display by cryptocurrencies.”
He noted that once Gurbir Grewal, director of the Securities and Exchange Commission (SEC) Division of enforcement, testified before his committee in July, he known as on him to “pursue social control actions against the biggest cryptocurrency exchanges for failing to register with the SEC when listing tokens on their platforms that the Commission had in public known as unregistered securities.” The leader named XRP specially.
Sherman opined:
I believe it is important now more than ever that the SEC take decisive action to put an end to the regulatory gray area in which the crypto industry has operated … In the coming weeks, I also plan to work with my colleagues in Congress to examine options for federal legislation.
The congressman from California isn't the sole politician pushing for strict cryptocurrency regulation following the implosion of FTX. The White House and several other U.S. senators have called for correct crypto oversight. legislator Elizabeth Warren (D-MA) same crypto needs “more aggressive enforcement.”
( Kevin Helms, Bitcoin.com, 2022 )