SEC Commissioner Says Agency is in “Enforcement-Only Mode” When Regulating Crypto
SEC Commissioner Hester Peirce has said that the regulatory agency is currently operating in an “enforcement-only mode” when it comes to the regulation of cryptocurrencies.
Peirce, known for her crypto-friendly stance among the SEC’s five commissioners, expressed her concerns during her speech at ETHDenver , an annual gathering of crypto developers, investors, and marketers with a focus on Ethereum, the second-largest blockchain after Bitcoin.
Addressing the packed main stage, Peirce acknowledged the burden placed on industry participants who constantly worry about avoiding legal disputes.
“If we had clearer rules, you could focus on building,” she said.
While stressing that her views were her own, Peirce openly voiced her frustration with the SEC’s tendency to pass judgment on cryptocurrencies as an asset class.
She remarked that excessive regulation would hinder innovation and urged for a more understanding and collaborative approach.
“I really think that we can get to a better place in the United States, it is taking a lot longer than probably you all want, but I do think we can get there if we work together and think about what would make sense.”
Since joining the SEC in 2018, Peirce, a lawyer by profession, has been a vocal advocate for the crypto industry, even in the face of skepticism from some of her colleagues, including SEC Chair Gary Gensler.
“If we all want to bubble wrap ourselves, it would be a much less interesting country,” she said, defending the importance of avoiding excessive regulatory restrictions.
The SEC has been involved in legal battles with various crypto companies, including Coinbase, Ripple, and Kraken, alleging that they offered illegal and unregulated investments to the US
