“Crypto mom” has been given an additional five years as SEC Commissioner and will continue to push for sensible regulation of crypto.
SEC Commissioner Hester Peirce has been sworn in for her second term and in a recent interview, she discussed her future plans to regulate token sales in the United States and the current crypto industry in connection with Covid-19.
After her appointment in early 2018, Peirce has always welcomed the views of non-political decision-makers and industry professionals. These insights provide her with perspectives that would not come from working with securities lawyers alone.
Peirce said in the interview :
I really believe that as regulators, we need to be drawing on the wisdom of people outside of the regulatory community. And that’s, again, part of what I really like about this area, which is that people are coming and looking at our securities laws from a totally fresh and new perspective.
This could encourage crypto policies to create a much more hospitable environment between policy-makers and investors.
In addition, it also includes the feeling of many crypto investors about the sales of tokens and their classifications.
“I think we’ve made it very difficult for people to make lawful token offers in the United States”.
The SEC, Peirce and Telegram
Peirce is an advocate of crypto “refuge” and was named “Crypto Mom”, during his last term, in an unofficial sense. On July 21, Peirce spoke out against the SEC’s decision to prosecute Telegram after the SEC won the lawsuit against the petition.
Peirce expressed his views on the current state of SEC regulation:
“Enforcement actions can be instructive to people other than the wrongdoer but are not an appropriate mechanism to create new law. Our regulatory integrity demands that enforcement actions be premised on a violation of a clearly articulated statute or rule.
How the crypto industry manages Covid-19
According to a KPMG survey, a majority of executives confirmed that the pandemic has slowed the growth of blockchain and crypto companies. The year 2020 has shifted the industry’s priorities from cost reduction to survival.
The SEC had taken the initiative to facilitate the financing of companies without the need for documents, which are limited during the pandemic. The result of this campaign has not yet borne fruit but could materialize in the future.