The SEC"s position, which they’ve repeatedly tested and proven in court, is that crypto falls under the exact same rules as the rest of the financial world.
It’s a novel technology (sort of) but ultimately what’s being done with that technology is just buying and selling securities.
That means that when banks lobby for deregulation of the finance industry, they are in fact lobbying to deregulate crypto, because crypto falls under the same regulations as then. There’s no special carve out. They’re all in one big boat together.
But that’s not what the crypto world wanted. Crypto wanted a special carve out. They wanted to not fall under the same rules as the banks. What LBRY, FTX, Binance, et al have all been arguing in court is that the rules for the banks don’t apply to them, because they want to exist in a special magical land where there are no rules (or where the rules exist, but they get to write them).
This is a daft comment, so take a pinch of salt… but traditional banks lobby hard for deregulation, except when it comes to crypto.
The SEC"s position, which they’ve repeatedly tested and proven in court, is that crypto falls under the exact same rules as the rest of the financial world.
It’s a novel technology (sort of) but ultimately what’s being done with that technology is just buying and selling securities.
That means that when banks lobby for deregulation of the finance industry, they are in fact lobbying to deregulate crypto, because crypto falls under the same regulations as then. There’s no special carve out. They’re all in one big boat together.
But that’s not what the crypto world wanted. Crypto wanted a special carve out. They wanted to not fall under the same rules as the banks. What LBRY, FTX, Binance, et al have all been arguing in court is that the rules for the banks don’t apply to them, because they want to exist in a special magical land where there are no rules (or where the rules exist, but they get to write them).