As the SEC sues Coinbase and Binance, the head of the agency criticizes cryptocurrencies. “We already have digital currency: it’s called the US dollar. It’s called the euro or it’s called the yen, they’re all digital right now,” he said.
US Securities and Exchange Commission (SEC) Chairman Gary Gensler lashed out at cryptocurrencies by arguing that they are unnecessary because the dollar already exists. This Tuesday, the SEC sued the exchange Coinbase, alleging violation of federal securities laws; this happens a day after a similar lawsuit against Binance and its CEO for more than 13 charges.
Gary Gensler said that there is no need for digital currencies in today’s world, given the existence of fiat currencies. “Look, we don’t need more digital currency. We already have digital currency: it’s called the US dollar. It’s called the euro or it’s called the yen, they’re all digital right now. We already have digital investments”he expressed.
“So what is the actual underlying value of these tokens?” he wondered, adding: “We have not seen, over the centuries, that economies and the public need more than one way to move value.”
The United States Securities and Exchange Commission (SEC, for its acronym in English) sued the platform of cryptocurrencies coinbase for taking the role of one stock Exchange and an unregistered stockbroker, according to an official statement.
“Since at least 2019Coinbase has made billions of dollars by illegally facilitating the buying and selling of crypto assets,” the SEC said in the note, insisting that Coinbase mixes traditional stock market services with those of a stockbroker without registering any of those functions.
On Monday, meanwhile, the SEC filed in total 13 charges against Binance and against its founder, Changpeng Zhaowhom he accuses of blatantly ignoring US stock market laws and of earning billions of dollars in exchange for putting “significant risk“the assets of its clients.
“Zhao and the Binance entities were not only aware of the rules, but consciously chose to evade them. and put their customers and investors at risk, all in an attempt to maximize their own profits,” the US regulator’s chairman, Gary Gensler, said in a statement.
Source: Ambito
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