SEC hires new assistant to take care of cryptocurrency regulatory policies – Crypto Gazette – CVBJ

The regulatory interest of several countries has grown a lot during this last year. It wasn’t until 2021 that many governments began to consider the need to regulate cryptocurrencies. We have already seen how some regulators have taken the first steps, such as El Salvador and China.

Although the cases that have had the most coverage have been those of China and El Salvador, the United States, which is one of the most important countries in terms of economy, has not made much progress on the regulatory issue. Regulators in the United States have been making some comments about cryptocurrencies for some time, but nothing had materialized.

After a long time of silence, it seems that the first changes are taking place to treat the issue of cryptocurrencies properly. According to recently released data, Gensler who is the chairman of the SEC has officially hired Corey Frayer who is a member of the congressional senate.

The hiring

Although there is not much information on hiring, it has been learned that the reason for hiring Corey Frayer has to do with the need to explore new regulatory policies related to cryptocurrencies.

As people familiar with the matter have commented, Frayer previously served in the United States Senate and has begun work at the SEC this month. It is no secret to anyone that the role played by Gensler is quite relevant for cryptocurrencies and it is estimated that Frayer could mean important changes for the market.

Although there is no accurate information about the regulatory attitude or the plan that Frayer has, panic has begun to unleash among companies related to cryptocurrencies and exchanges. The reason has to do with the fact that Frayer has expressed his skepticism about the use of cryptocurrencies on different occasions.

We have already seen how the opinion of an important person in the decision-making process can significantly affect the market, and right now that it is in a somewhat difficult time, the changes that could come may not be entirely beneficial.

And if we add to this that Gensler has asked the United States government on different occasions to strengthen the supervision of cryptocurrencies, it seems that the formula is almost complete so that serious problems will arise for the market very soon.

Will the United States Ban cryptocurrencies?

The possibility of banning cryptocurrencies is always present. It is no secret to anyone that cryptocurrencies directly threaten the traditional economic structure. In any event, governments will work so that this structure does not suffer. Some countries have been threatened by cryptocurrencies and have decided to ban them, but this is not yet the situation in the United States.

It will be almost a year since the new president of the United States Joe Biden took office, and so far there has been no significant change in the market. During his candidacy, there had been a lot of speculation about the possibilities of support and prohibition, but so far what has reigned is silence.

In fact, it was not until recently that it was commented that although the United States intended to regulate cryptocurrencies, the interest was not as restrictive as that of other countries. A clear example is that of China, which this year banned all kinds of transactions related to cryptocurrencies. In this case, if the regulatory attitude is not restrictive, it is much more permissive and this can help the market.

We must remember that regulation is not always the same as prohibition. Sometimes regulations give recognition to cryptocurrencies and this makes them much safer by increasing investment. A case similar to the previous example is that of El Salvador, which has approved bitcoin as a legal tender in order to make transactions in the country easier, faster and safer.

Although it was mentioned some time ago that the regulatory attitude in the United States is not entirely restrictive, this does not mean that it cannot change. The interest of regulators is to protect the country’s economy and investors and if cryptocurrencies begin to pose conflicts for national security or financial stability, it is likely that actions will be taken that could harm commercialization.

The point is that this will not be known until it happens. So far, the US plan is very difficult to read. Before China banned cryptocurrencies this was something that was sensed, but with the United States the situation is different and could be surprising.

Source: Finance East Money