Senator Sherrod Brown, the Democratic chairman of the Senate Banking Committee, took a new step for cryptocurrencies. In this regard, Brown sent a letter to the agency chiefs. In these letters, he called for greater crypto transparency and consumer protection.
Senator called on regulators for cryptocurrencies!
U.S. Sen. Sherrod Brown (D-Ohio), whose chairmanship of the Senate Banking Committee gives him power over crypto’s congressional fate, issued a call to regulators on Thursday. Brown wants to increase market transparency and protect investors who invest their cryptocurrencies in the sector. In this regard, it requests institutions to use the powers they currently have over digital assets.
Sherrod Brown sent a letter to the heads of the Treasury Department, the Securities and Exchange Commission (SEC), and the Commodity Futures Trading Commission (CFTC). The senator demands that these agencies address the dangers of the industry. Brown underlines the following points in his letter to Treasury Secretary Janet Yellen, SEC Chairman Gary Gensler and CFTC Chairman Rostin Behnam:
I ask your institutions to assess their mandate and consider how we can improve our current disclosure guardrails to effectively target the shortcomings we observe in digital asset tokens and digital asset platforms.
Brown: Cryptocurrency industry cannot regulate itself!
Sherrod Brown also said, “Ultimately, inadequate explanations remain. Because ambiguity serves sponsors, managers, and other crypto industry insiders. It’s much easier to make a profit when customers are left in the dark. This is why digital asset companies resist true transparency. “It also forces Americans to accept petty, self-serving explanations typical of the industry.” makes his statement.
Meanwhile, the Senator praised the SEC’s enforcement crackdown on crypto during a Senate hearing earlier this week. This last view is unquestionably harsh on the industry from lawmakers whose legislative intentions are vague at best. The House of Representatives is putting important crypto bills to a vote. The Senate does little more than introduce and reintroduce bills that are still waiting for committee action.
Uncertainty in the sector needs to be eliminated!
The crypto industry and regulators are strongly encouraging lawmakers to impose special rules for digital assets. Brown’s remarks come as Congress has not yet provided a road map to guide agencies as they write them. However, it also shows that new rules are needed. On that note, Brown is not proposing any legislation that he clearly stands behind. The senator simply says, “Congress must work to provide Americans with the information they need.”
SEC Chairman Gary Gensler, meanwhile, is enforcing his belief that existing securities laws govern crypto. As you follow from Kriptokoin.com, Gensler sees almost every cryptocurrency business as out of compliance. It also leaves him vulnerable to his agency’s enforcement team.
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