SEC's Gensler Says Crypto Firms Skip Public Disclosures by Dodging Registration
U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler has criticized the crypto industry for attempting to avoid the SEC's disclosure regime. He suggested that businesses dealing with digital assets are among those trying to bypass the requirement to register securities and provide information to investors. The SEC is currently pursuing enforcement actions against companies such as Coinbase Inc. and Binance for allegedly failing to register as exchanges and listing unregistered securities. The agency is also reportedly investigating Ethereum, considering classifying it as a security. The first firm approved as a special-purpose crypto broker-dealer, Prometheum, is preparing to open its business to customers, while Coinbase has requested an appeals court to compel the SEC to engage in crypto-specific rulemaking.
