More Regulation Incoming!

[stompix]

https://www.theblock.co/post/197387/ftx-ftt-token-security-sec
This is wrong, and I truly hope that there a many lawyers around the globe fighting this rule by the SEC. 
Example:  Mattel makes dolls, and sells dolls, just like FTX made FTT tokens and sold them.  But, just because investors by large quantities of some product does not make that company indebted to those buyers.  If Mattel were to file bankruptcy like FTX, then Mattel would not owe any debt to all the investors who bought those dolls.  Therefore, I believe that the SEC is truly wrong about calling any cryptocurrency a security. 

Did Mattel make half a billion dollars for the company itself and used to play with them in exchange for services and used them to take loans and guarantee loans on other assets?  Did Mattel at any time claim that these dolls are going to use to "improve and power the Mattel ecosystem? Did Mattel offer you any kind of interest on the dolls you would purchase and then send them back to their depo for a period of time, in a signed contract? Did Mattel promise they will buy back a few of the dolls and throw them in a dump so that the price of the other dolls would increase over time?

It is more like a commodity.  Especially when many cryptocurrencies are decentralized, and there is no central company that controls their price or supply. 

Yeah lol, just because it doesn't happen that offer, can you please tell me who stops CZ from releasing more BNB? Oh, wait, nobody has stopped him! Or you tell me of a few top cryptocurrencies besides Bitcoin that are fully decentralized and there is no one governing and ruling on a whim, well, like ETH? Or BNB? Or XRP? Or Terra, lol!!!

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[zasad@]

https://www.whitehouse.gov/nec/briefing-room/2023/01/27/the-administrations-roadmap-to-mitigate-cryptocurrencies-risks/
The Administration’s Roadmap to Mitigate Cryptocurrencies’ Risks
"The Administration wholeheartedly supports responsible technological innovations that make financial services cheaper, faster, safer, and more accessible. Yet to realize these benefits, new technologies need commensurate safeguards.. bla..bla.."
Request for Information; Digital Assets Research and Development
https://www.federalregister.gov/documents/2023/01/26/2023-01534/request-for-information-digital-assets-research-and-development

[RahbabaKahn]

While I agree that the SEC wants to enforce the Securities Act of 1933, they don't need to make a blanket statement that all cryptocurrencies should be treated as securities.  There are some tokens currently considered commodities, which places their regulation under a different regulatory agency.  Sure there will many con-men and scammers taking part in this blockchain alt-currency revolution, and the SEC and CFTC bureaucracies feel obligated to protect investors from such activity.  But rather than trying to fit a square peg into a round hole, I would prefer to see them create some type of amendment to their existing regulations that would accommodate the uniqueness of blockchain tokens separately from stocks, bonds, and debt instruments sold by corporations.  In the mean time, I'll just wait and watch on the sidelines and hope that the highly paid legal authorities battle out some type of enforceable regulation without damaging the current successful blockchain technology.

[zasad@]

https://www.coindesk.com/policy/2023/02/03/us-cftc-chief-promises-more-precedent-setting-crypto-enforcement-cases/
US CFTC Chief Promises More ‘Precedent-Setting’ Crypto Enforcement Cases
Commission Chairman Behnam says his agency is gearing up for another year of significant actions in the crypto industry as he tries to ramp up his enforcement staff.
One of the U.S. agencies trying to bolster oversight of cryptocurrency trading, the Commodity Futures Trading Commission (CFTC), is looking toward a big year of crypto enforcement actions, according to Chairman Rostin Behnam.

[bittraffic]

More regulatory bodies are trying to fight over which of them will supposedly regulate crypto. Financial Accounting Standards Board (FASB) was once also in one article on a crypto site demanding regulation in which crypto could also be their domain.

SEC,  FSOC, and CFTC have to make it clearer which of them is really going to regulate crypto. I guess all of them have thier own grand plan to have a grip on this industry, they got to take taxes. The problem is that crypto is borderless and US doesn't own the biggest CEX.

[zasad@]

https://coinmarketcap.com/alexandria/article/kraken-faces-sec-probe-over-unregistered-securities-sales
The Kraken exchange may be next on the Securities and Exchange Commission's hit list.
Kraken is being probed by the agency for selling unregistered securities to U.S. citizens, Bloomberg reported on Feb. 8. A settlement may be coming in days, it added.
The SEC has long held that nearly all cryptocurrencies except Bitcoin are securities that must be registered with the agency and sold by registered broker-dealers.

[sha420hashcollision]

Cryptocurrency and the evolution of blockchain technology is a real visible revolution in trading and worldwide monetary exchange.  One key ruling by the SEC was that they decided that a Token represents a security by the company that issued that token. 
https://www.theblock.co/post/197387/ftx-ftt-token-security-sec
This is wrong, and I truly hope that there a many lawyers around the globe fighting this rule by the SEC. 
Example:  Mattel makes dolls, and sells dolls, just like FTX made FTT tokens and sold them.  But, just because investors by large quantities of some product does not make that company indebted to those buyers.  If Mattel were to file bankruptcy like FTX, then Mattel would not owe any debt to all the investors who bought those dolls.  Therefore, I believe that the SEC is truly wrong about calling any cryptocurrency a security.  It is more like a commodity.  Especially when many cryptocurrencies are decentralized, and there is no central company that controls their price or supply.  That may not be true across all blockchain tokens, but my opinion is that the SEC is not the ruler of the world of finance, and the cryptocurrency business lawyers need to revolt and sue the SEC against their security ruling and forthcoming regulation.  The SEC should stick to chasing down bad actors like SBF, Bernie Madoff, ENRON, etc.  The flim-flam con-men who would use legitimate blockchain tokens for nefarious purposes.

This is delusional, Mattel dolls are not some speculative floating point number on an excell spreadsheet being scanned by some horribly written python code. Im not some Mattel fan but the business model of selling Toys or Dolls actually provides some value to children, selling some paper shitcoin that left a ton of people holding -100% in their portfolio is not a product. You should sit in the corner and really think about what delusional bullshit you just typed out.

[zasad@]

https://www.coindesk.com/policy/2023/02/09/stablecoin-issuer-paxos-is-being-investigated-by-new-york-regulator/
Stablecoin Issuer Paxos Is Being Investigated by New York Regulator
"The scope of the crypto-related investigation is not yet clear.
The full scope of the investigation is unclear. Paxos’ stablecoins include the Pax dollar (USDP) and Binance USD (BUSD), a Binance-branded stablecoin offered through a white-label service.
A NYDFS spokesperson said the agency could not comment on ongoing investigations."
__

[virasog]

https://www.coindesk.com/policy/2023/02/09/stablecoin-issuer-paxos-is-being-investigated-by-new-york-regulator/
Stablecoin Issuer Paxos Is Being Investigated by New York Regulator
"The scope of the crypto-related investigation is not yet clear.
The full scope of the investigation is unclear. Paxos’ stablecoins include the Pax dollar (USDP) and Binance USD (BUSD), a Binance-branded stablecoin offered through a white-label service.
A NYDFS spokesperson said the agency could not comment on ongoing investigations."
__

Tether has already faced such investigation and now these investigations against USDP and BUSD will add to the panic in the market. Also it is strange that the scope of these investigation is not clear or is deliberately not made the scope public.

I am not sure what will be the end result of these investigation but i am confident that BUSD will come out clean from these investigations.

[zasad@]

https://www.coindesk.com/policy/2023/02/09/stablecoin-issuer-paxos-is-being-investigated-by-new-york-regulator/
Stablecoin Issuer Paxos Is Being Investigated by New York Regulator
"The scope of the crypto-related investigation is not yet clear.
The full scope of the investigation is unclear. Paxos’ stablecoins include the Pax dollar (USDP) and Binance USD (BUSD), a Binance-branded stablecoin offered through a white-label service.
A NYDFS spokesperson said the agency could not comment on ongoing investigations."
__

Tether has already faced such investigation and now these investigations against USDP and BUSD will add to the panic in the market. Also it is strange that the scope of these investigation is not clear or is deliberately not made the scope public.

I am not sure what will be the end result of these investigation but i am confident that BUSD will come out clean from these investigations.

For the last 3 months, very negative news about crypto regulation has been released. The situation with Protego and Paxos's petitions is also unclear.

With crypto banking on the brink, rumors are flying
https://fortune.com/crypto/2023/02/08/with-crypto-banking-on-the-brink-rumors-are-flying/

free
https://archive.is/jnxFx
"Unlike Anchorage, the final status of Protego and Paxos’s petitions remains uncertain. The OCC has dragged out the approval process—and with it, the companies’ ability to operate as national banks—beyond the 18-month deadline."

Some people are rumored to want to disrupt the connection between the banking world and the worlds of cryptocurrencies.

[bmwister]

I don't think much will change. Thus, the state will only tighten control over cryptocurrencies and computers. But these new rules will not protect companies from collapse or failure. Unfortunately, this does not depend on the rules.

But this is just my opinion. The authorities know what they are doing, after all.

[zasad@]

I don't think much will change. Thus, the state will only tighten control over cryptocurrencies and computers. But these new rules will not protect companies from collapse or failure. Unfortunately, this does not depend on the rules.

But this is just my opinion. The authorities know what they are doing, after all.

Yes, I also think that SEC will not have enough resources for all crypto projects, but they will make a lot of noise and make many people very nervous. The mass adoption of stablecoins is still very far away, I think 3-5 years, but for now it is necessary to reduce the growing number of stablecoins.

[zasad@]

https://www.fsb.org/wp-content/uploads/P200223-1.pdf
20 February 2023
"The financial stability outlook remains challenging. Inflation persists above target in many
jurisdictions. Despite easing recently, global financial conditions are significantly tighter than a
year ago and may undergo further tightening in the months to come. Economic growth has
slowed markedly in recent months. Whilst expectations of a ‘soft landing’ for the global
economy have grown, the outlook remains clouded by uncertainty. Emerging market and
developing economies (EMDEs) have been largely resilient thus far, but this backdrop may
present challenges to them as we move forward."

____
Before

https://www.fsb.org/2022/10/fsb-proposes-framework-for-the-international-regulation-of-crypto-asset-activities/
FSB proposes framework for the international regulation of crypto-asset activities

15 December 2022
https://www.circle.com/hubfs/Circle%20Internet%20Financial%20-%20Comments%20on%20FSB%20Consultation%20v2.pdf
RE: Proposed framework for the international regulation of crypto-asset activities and “global
stablecoins” – consultative response

____
USDC will probably continue to work

[sha420hashcollision]

scam coin pump and dumps ARE securities, bitcoin is a commodity

[Kryptowerk]

Mt Gox and FTX aren't both company should be blamed, but the whole centralized exchanges should be blamed especially if they're included in this list [1]

It's not surprising regulation will keep coming because hacker is always clever and better rather than the current security, this is why everyone should avoid to use centralized exchange. If people are move all from centralized exchange to decentralized exchange, there's will no regulation coming due to security excuse, they only want to control everyone activity.

[1] https://bitcointalk.org/index.php?topic=5090869.0

While we talk about blame, I think especially in the case of FTX it has become apparant that as long as everybody involved (from the huge fish at FTX headquaters down to all the youtubers and other shills promoting FTX) makes good money, nobody even tries to take a look at all the red flags. So my personal stance on the matter is, money speaks, the responsibility for the FTX mess may be mostly within SBF and associates but goes a long way down to thousands of people involved that allowed the corrupt system to keep running for so long.

[aoluain]

Mt Gox and FTX aren't both company should be blamed, but the whole centralized exchanges should be blamed especially if they're included in this list [1]

It's not surprising regulation will keep coming because hacker is always clever and better rather than the current security, this is why everyone should avoid to use centralized exchange. If people are move all from centralized exchange to decentralized exchange, there's will no regulation coming due to security excuse, they only want to control everyone activity.

[1] https://bitcointalk.org/index.php?topic=5090869.0

While we talk about blame, I think especially in the case of FTX it has become apparant that as long as everybody involved (from the huge fish at FTX headquaters down to all the youtubers and other shills promoting FTX) makes good money, nobody even tries to take a look at all the red flags. So my personal stance on the matter is, money speaks, the responsibility for the FTX mess may be mostly within SBF and associates but goes a long way down to thousands of people involved that allowed the corrupt system to keep running for so long.

100% and I would add a big percentage of people trying to make a profit from $hitcoins
dont realise that they are feeding that system, I didnt realise it when I was trading
$hitcoins.

Like wise the youtubers and ordinary people following and promoting FTX werent aware
of the corruption.

Stuff like this also gives the likes of the FED and ECB more excuses and reason to
lump Bitcoin in along with $hitcoins under the general term of Crypto.

[sha420hashcollision]

Mt Gox and FTX aren't both company should be blamed, but the whole centralized exchanges should be blamed especially if they're included in this list [1]

It's not surprising regulation will keep coming because hacker is always clever and better rather than the current security, this is why everyone should avoid to use centralized exchange. If people are move all from centralized exchange to decentralized exchange, there's will no regulation coming due to security excuse, they only want to control everyone activity.

[1] https://bitcointalk.org/index.php?topic=5090869.0

While we talk about blame, I think especially in the case of FTX it has become apparant that as long as everybody involved (from the huge fish at FTX headquaters down to all the youtubers and other shills promoting FTX) makes good money, nobody even tries to take a look at all the red flags. So my personal stance on the matter is, money speaks, the responsibility for the FTX mess may be mostly within SBF and associates but goes a long way down to thousands of people involved that allowed the corrupt system to keep running for so long.

100% and I would add a big percentage of people trying to make a profit from $hitcoins
dont realise that they are feeding that system, I didnt realise it when I was trading
$hitcoins.

Like wise the youtubers and ordinary people following and promoting FTX werent aware
of the corruption.

Stuff like this also gives the likes of the FED and ECB more excuses and reason to
lump Bitcoin in along with $hitcoins under the general term of Crypto.

They can make up whatever BS they want as they have been for the entirety of Bitcoin's existence. This is a particular problem with shitcoins specifically. This is a problem with centralized companies acting like they provide the same guarantees as Bitcoin. They can blame themselves for not doing the research, lying to themselves and the public, and going all in on their own centralized pre-mined IOU receipt token of which there are thousands.

[safar1980]

Crypto effort in House gathers steam, could gain allies in Lummis, Gillibrand

An effort to overhaul how U.S. securities and commodities laws govern crypto markets is picking up momentum.
The House-led effort now has interest in the Senate, with the goal of releasing the legislation in late May.

https://www.theblock.co/post/227474/crypto-markets-bill-congress

[zasad@]

https://www.coinbase.com/blog/coinbase-takes-another-formal-step-to-seek-regulatory-clarity-from-sec-for
"Today Coinbase filed a narrow action in federal court to compel the SEC to respond yes or no to our July 2022 petition asking the SEC to use its formal rulemaking process to provide guidance for the crypto industry. The rulemaking process exists so that agencies can develop regulation with the benefit of public input, and have their position tested through judicial review. To date, more than 1,700 entities and individuals have submitted comments to Coinbase’s petition echoing the request for clarity. "

[Framelover]

Mt Gox and FTX aren't both company should be blamed, but the whole centralized exchanges should be blamed especially if they're included in this list [1]

It's not surprising regulation will keep coming because hacker is always clever and better rather than the current security, this is why everyone should avoid to use centralized exchange. If people are move all from centralized exchange to decentralized exchange, there's will no regulation coming due to security excuse, they only want to control everyone activity.

[1] https://bitcointalk.org/index.php?topic=5090869.0

It is essential to know that regulations can aid in improved security and protect investors, even though it’s important to hold centralized exchanges responsible for security violations.
Nevertheless, it is up to individuals to evaluate the risk and benefits of using centralized vs decentralized exchanges and make a decision based on their personal choice.