U.S. Securities and Exchange Commission Chairman Gary Gensler will testify before the House Financial Services Committee tomorrow. According to prepared testimony, Gensler once again stated that most cryptocurrencies and crypto companies are subject to federal securities laws.
“These securities laws have been around for decades, and given the widespread noncompliance with securities laws in this industry, it’s not surprising that we’re seeing a lot of problems in these markets,” he said. “We’ve seen this story before.” This is reminiscent of the situation in the 1920s before the federal securities laws were implemented.
In his testimony, Gensler cited the agency’s rulemaking, including a statement issued in April that crypto platforms had become part of the definition of an exchange, including DeFi platforms.
