US SEC's Crenshaw takes aim at crypto in final weeks at the agency

SEC Commissioner Caroline Crenshaw, nearing her departure from the agency, used a public speaking engagement to heavily criticize the current state of digital asset regulation and market behavior. She stated that SEC standards have eroded, causing markets to resemble casinos, and noted the agency's recent trend of dismissing enforcement cases and reducing penalties. Crenshaw expressed concern that many crypto purchasers are speculating based on hype rather than economic fundamentals, driven by a desire to gamble or promoter hysteria. Furthermore, she worried that efforts to accommodate crypto might lead to loosening fundamental securities laws without necessary guardrails, potentially causing significant market contagion. Crenshaw suggested the SEC should focus on other regulatory concerns, as crypto is a small market segment, and expressed apprehension about creating exceptions for crypto companies that deviate from traditional finance rules.

(Source：Cointelegraph)