SEC Commissioner has Said that ICO Markets Show the Need for Securities Regulation
The ICO ecosystem is what the wider securities market place would look like without regulation according to SEC commissioner. Commissioner Robert Jackson was making a comparison when speaking about the agency’s role in the regulation of cryptocurrencies and the ICO-driven tokens and the possibility of tighter control in the market.
According to Roberts: “If you want to know how our markets would look like if there was no regulation and when the SEC did not do its job just look at the ICO market.” Roberts also noted that Bitcoin has been having a lot of troubling developments:
“Investors don’t seem to understand the difference between investment and fraud.”
Roberts also supported the words of his boss Jay Clayton the agency’s chairman who said that he had not seen any ICO token which does not look like a security. Roberts also noted that as much as the SEC is limiting itself to keeping enforcement against illegal activities in the current market the agency is likely to step up its securities regulation of the field more broadly in the future.
In his conclusion remarks Roberts noted that: “At the moment we are focused on protecting investors who are been hurt in the digital currency market. In the future we will have a way to make all these investments work with our security laws.
Despite the fact that the digital currency and ICO markets are growing very fast there are many challenges that need to be addressed in order to the market to get more appreciation and attract more investors. Activities like money laundering terrorist funding among others are forcing governments to consider banning the market which is clearly the future. With the right regulations it’s evident that the digital currency market would easily replace fiat money since its more reliable and its decentralized nature makes it even better.