SEC says Crypto rulemaking may take years

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In the latest response, the US securities regulatory body confirmed that it is not in a rush to bring rules on the crypto industry.

As we know that Coinbase filed a petition in the court in mid of the last year to get clarity from the United States Securities and Exchange Commission (SEC) to get clarity whether the SEC body will follow proper rules or not to regulate the Crypto companies. In April of this year, Coinbase again filed a court motion to forcibly order the SEC agency to respond.

On 15 May 2023, The SEC body responded clearly that no entity or individual has the right to order any government body to fulfil certain duties. 

Further SEC body stated:

“Perhaps recognizing this, Coinbase instead asserts that this Court should compel the Commission to act on Coinbase’s recently filed rulemaking petition.”

Coinbase chief legal officer Paul Grewal shared the summary of the outcome of the SEC’s response and confirmed that it was the first time when the SEC body talked about the crypto regulation need, which may take several years.

The SEC body also confirmed that it will actively initiate enforcement actions against the crypto firms as a substitute for rulemaking for the foreseeable future.

Further on the public statements passed by the SEC chairman Gary Gensler, the SEC agency suggested people ignore his statement. 

According to the Coinbase officer, the SEC’s response is a clear answer that the crypto industry under the jurisdiction of the US is running without any clear rules and here the SEC body may take action by remaining inside or outside of its authority to initiate charges against the crypto companies.

Read also: Russian govt official confirms “Federal Tax Service” is the first crypto regulator in the country

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