SEC Gary Gensler Crypto Speech is Probably Good News For Institutional Adoption

cryptonews.com:

SEC chairman Garry Gensler has revealed he wants the agency to cover numerous crypto industry entities with regulations that apply to securities - potentially encouraging institutional crypto adoption.

Gensler, Chair of the U.S. Securities and Exchange Commission(SEC), has established himself as a vocal critic of many segments of the crypto industry, and a recent speech indicates he wants to tighten regulations and bolster enforcement efforts.

Previous statements indicate he believes that the vast majority of digital assets fall under the SEC’s regulatory purview, and that crypto trading platforms should register with the agency.

During his speech, Gensler said that “investors deserve disclosure to help them sort between the investments that they think will flourish and those that they think will flounder. Investors deserve to be protected against fraud and manipulation. The law requires these protections.

“Our fundamental goal is to provide investors with the protections and disclosures they deserve — and that are required by law,” adding that, for this reason, he has “asked the SEC staff to work directly with entrepreneurs to get their tokens registered and regulated, where appropriate, as securities.”

Indicating the regulator’s interest in crypto exchanges, the chair said that, as, in his view, many crypto tokens are securities, it means that many 'crypto intermediaries' are transacting in securities and as a result have to register with the SEC.

He added: “Crypto intermediaries also engage in the business of effecting transactions in crypto security tokens for the account of others, which makes them brokers, or engage in the business of buying and selling crypto security tokens for their own account, which makes them