Gary Gensler Bitcoin Stance Remains Stable: It’s Not A Security
- SEC Chair Gary Gensler Bitcoin stance remains unchanged, treating it as a commodity.
- The SEC’s expansive definition of securities includes investments dependent on others’ efforts.
- Gensler faces criticism from Republicans for not cooperating with Congress during his term.
Securities and Exchange Commission (SEC) Chair Gary Gensler reiterated Bitcoin’s status as a commodity rather than a security during a recent testimony before the House Financial Services Committee.
SEC Chair Gary Gensler Bitcoin Stance Remains Unchanged
Chairman Patrick McHenry pressed Gensler on this distinction, to which Gensler responded:
“It does not meet the Howey Test, which is the law of the land for being a security. It’s not a security.”
This distinction holds significant implications for the regulation of cryptocurrencies and digital assets in the United States. Gensler’s statement affirmed the SEC’s long-standing stance that most cryptocurrencies and digital assets should be categorized as securities under U.S. law. The SEC defines securities broadly, encompassing any investment contract involving money invested in a common enterprise with the expectation of profits solely from others’ efforts.
Controversy Erupts as Gensler Defends Crypto Classification
Gensler Bitcoin stance hasn’t come without controversy, as the Republican Committee on Financial Services in the U.S. House of Representatives accused him of disregarding Congress during his term. They argue that Gensler has not adequately considered rulemaking or responded to lawmakers’ oversight requests, vowing to hold the SEC accountable for its responsibilities.
Notably, during the hearing, an individual seated behind Gensler displayed a “Stand With Crypto” NFT on a mobile device. This emblem symbolizes unity within the crypto community, advocating for sensible cryptocurrency policies.
As the debate over cryptocurrency regulation continues, Gensler Bitcoin stance is a commodity, not a security, sets a crucial precedent for the regulatory landscape in the United States.
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