In a statement favoring cryptocurrencies and cryptocurrency exchange Coinbase the U.S. Chamber of Commerce said that the Securities and Exchange Commission’s (SEC) regulatory activities against the cryptocurrency business are counterproductive and perhaps unlawful.
The Chamber of Commerce Thinks that SEC Harms the Cryptocurrency Ecosystem
The Chamber of Commerce, which speaks for the interests of several firms and professional organizations, has released a statement on its website stating that the SEC’s actions would have far-reaching effects on the United States’ crypto ecosystem. They also said the regulator’s refusal to detail the guidelines for cryptocurrency firms conflicts with due process.
Coinbase has petitioned the court to order the SEC to guide the applicability of securities laws to digital assets. A court granted the exchange house’s motion and mandated a response from the regulator. The U.S. Chamber of Commerce rejected the SEC’s “continued inaction” on Coinbase’s regulation petition. The agency claims this matter “aggravates violations of due process and the basic principles of administrative law.”
The Chamber of Commerce emphasized, “The SEC’s actions are not just harmful policy, they are illegal,” adding that the SEC’s inactivity “prolongs uncertainty and worsens the economic cost” for businesses operating in the bitcoin industry.
SEC Keeps Putting the Squeeze on the Cryptocurrency Industry
Since SEC Chairman Gary Gensler, a banker, has said that cryptocurrencies other than bitcoin (BTC) belong under SEC authority, the Chamber of Commerce’s claims makes sense.
Gensler, however, was unable to answer the US Congress’s question of whether or not ether (ETH) could be considered a security. He was quite anxious as seen by his wobbly, delayed response.
The SEC has made progress in its campaign against several corporations, with Coinbase being one of the primary targets of its regulatory efforts. Just recently it came to light that this organization had served a Wells Notice on the business Brian Armstrong controls. These alerts often come before the SEC launches an inquiry.
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