According to a report from Wall Street Journal, the Securities and Exchanges Comission of the United States (SEC) has listed out over a dozen coins as illegal. The regulator has stated that the issuance of such coins have nearly increased by three folds in the previous year.
Gary Gensler, the chairman of SEC said that they can only regulate digital coins that are described as securities and he also said that most cryptocurrencies fall under this category.
There is an ongoing dispute between the crypto companies and the regulator wherein the companies have raised their concern over the complicated digital assets regulation in the U.S.
SEC Increasing Enforcements on Crypto Companies
As per Gary Gensler, the SEC is really serious when it comes to matter of regulating the illegal activities that are taking place in the country in the name of cryptocurrency. He said that the SEC took 30 enforcement actions in 2022.
In the first half of 2023, the SEC has taken 13 enforcement actions which accounts to a 25% increase as compared to the previous year. Many experts believe that the number will increase more in the coming half of the year as Gensler has increased the number of attorneys in the crypto unit of the SEC.
U.S Too Harsh in Terms of Regulation
All these steps clearly indicate the harsh nature of the U.S government regarding cryptocurrency and digital assets. At the Dubai Fintech Summit, one prominent figure, Brad Garlinghuse, CEO of Ripple shared his concerning views on the U.S government’s approach to the field of digital assets.
He said that the US is outpaced as compared to other nations in terms of digital assets. He also said that the SEC charged them in 2020 and they have an ongoing lawsuit with the regulator.