SEC Peirce says that ‘many’ memecoins are likely to fall out of the regulator jurisdiction
The US Securities and Exchange Commission (SEC) is likely to have no jurisdiction over many of the Memecoins who flooded the crypto market, SEC Commissioner Hester Peirce said in A Tuesday interview with Bloomberg.
“We always have to look at the facts and events, but many of the memecoins outside are probably homeless in the SEC under our current set of regulations,” Peirce said. “If that was something Congress would like to address, they can do that. Maybe that’s something that (Commodity Futures Trading Commission) wants to address. But many of that, I think, probably not within Our subjects. “
Memecoins, unlike cryptocurrencies such as Bitcoin and Ether, have no natural value. For many years, many in the industry have pushed back to regulating them such as security, focusing that they are more like digital beanie babies or baseball cards than investment contracts.
Peirce’s hands-off bearing is a marked move from the SEC strategy to crypto regulation under former chairman Gary Gensler, who Often asserted that all crypto tokens besides bitcoin are security. Just a day after Gensler came down, the acting chair Mark Uyeda announced the development of a new crypto work force, led by Peirce, who promised the clarity of regulation for the crypto industry and sign a transition from Called “regulation by implementation” conducted by the Gensler.
Last week, Peirce laid out a roadmap for the leading priorities of the Crypto Task Force, including resolving long questions what makes a crypto asset a security compared to a commodity and creating a more viable Registration Path by changing the existing Paths of Sec. In the same statement, Peirce reviewed his stance toward Memecoins, writing:
“If people want to buy a token or product without a clear long-term amount, they should be free to but should not be surprised for a few days if the price goes down. In this country, people Generally has the right to make decisions for themselves, but the opposite of amazing -american freedom is the equality -amazing American hope that people should decide for themselves, not look at the government of mama to tell them what to do or not to do, or bail them when they do something bad.
Read more: Sec Commissioner Hester Peirce puts 10 priorities for the new Crypto Task Force
