Senator Pat Toomey has criticized the U.S. Securities and Exchange Commission (SEC) for launching an enforcement action before expressing its views on certain cryptocurrencies. The enforcement action in question was an insider trading investigation against a former Coinbase product manager and 2 business partners. Meanwhile, the famous billionaire Mark Cuban also shared his statements on the subject. He stated that the regulatory steps will be the next nightmare in the industry. Here are the details…
The next nightmare in the cryptocurrency market
Shark Tank investor Mark Cuban has warned that the Securities and Exchange Commission’s (SEC) next steps towards regulating the cryptocurrency will be a nightmare for the industry. Cuban spelled out the nightmare that awaits the cryptocurrency industry in a tweet on Saturday. He used the following expressions:
Wait until you see what they found for the registration of the tokens. How else can you employ thousands of lawyers and create reasons to ask for more taxpayer money?
Think this is bad? Wait till you see what they come up with for registration of tokens. That's the nightmare that's waiting for the crypto industry. How else do you keep thousands of lawyers employed and create reasons to ask for more taxpayer money? https://t.co/eoDAiyDxlR https://t.co/mjr9LxnDZB
— Mark Cuban (@mcuban) July 23, 2022
Cuban included a link to a YouTube video documenting a 2014 call to the SEC to learn about insider trading regulations. The result shocked him. The Dallas Mavericks owner’s tweet came in response to a tweet from Senator Pat Toomey, who criticized the regulator for launching an enforcement action before expressing his views on why some cryptocurrencies are securities.
Today we announced insider trading charges against a former Coinbase product manager, his brother, and his friend for perpetrating a scheme to trade ahead of multiple announcements regarding certain crypto assets that would be made available for trading on the Coinbase platform.
— U.S. Securities and Exchange Commission (@SECGov) July 21, 2022
The enforcement action in question was insider trading accusations filed against a former Coinbase Global product manager and two of his partners last week. As we reported on Kriptokoin.com, the SEC claimed that nine of the tokens in the lawsuit were actually legal securities. This is a claim that Coinbase says it doesn’t agree with 100 percent.
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