SEC Chairman Gary Gensler stated at the Senate banking committee meeting that they are working on many spot Bitcoin ETF applications. Meanwhile, Bitcoin price broke hard above $26,000.
Gary Gensler testified in the Senate
Gensler made important statements to the Senate banking committee. In particular, he stated that the cryptocurrency market should be subject to stricter regulation. Gensler also stated that they are ready to guide the authorities on whether cryptocurrencies should be regulated as securities.
The SEC Chairman emphasizes that cryptocurrencies pose significant risks in terms of “investor protection, market stability and financial stability.” At the same time, he argued that all cryptocurrencies, including DeFi projects, should be brought into a regulatory framework. Gensler signaled that some stablecoins may actually be classified as securities as well.
In his speech, Gensler said that it is necessary to adopt a technology-neutral approach in order to increase transparency in the market and ensure investor protection. He also stated that there are not enough cryptocurrency exchanges currently under the supervision of the SEC. He particularly emphasized that more crypto exchanges should be brought under SEC supervision.
While the meeting focused on the need to establish a legal framework for regulating cryptocurrencies, Gensler emphasized that future regulations should adopt a “technology neutral” approach to protect investors.
“We are working on multiple spot Bitcoin ETF applications”
One of the highlights of the meeting was Grayscale’s lawsuit and spot Bitcoin ETF applications. Stating that they are evaluating the court’s decision regarding the Grayscale case, Gensler stated that the process for spot Bitcoin Exchange Traded Fund (ETF) applications is still ongoing. “We are still reviewing the Grayscale case decision,” Gensler said. We have a lot of spot Bitcoin demand files. “We are examining all of them,” he said.
In this process, the steps taken by the SEC for the future of cryptocurrencies are a matter of great curiosity. Spot Bitcoin ETFs will provide investors with direct Bitcoin exposure rather than indirectly. Therefore, the SEC’s approval process is of great importance for the industry. While market players followed the statements closely, Bitcoin price reached above the critical $26,000 resistance.
Bitcoin price exceeds $26,000
As we reported as Kriptokoin.com, Bitcoin spent time in the $ 25,200 region on September 12. As seen on the hourly chart, it climbed to $26,600 at one point in the past few minutes. The peak movement of the leading crypto also provided some momentum to the altcoin market. BTC is currently rising around 4.5%, independent of the overall market.
During the same time frame, most of the altcoin market is in the green around 2.5%.
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