fxs_header_sponsor_anchor

Billionaire investor Mark Cuban says an army of securities lawyers is required to determine the fate of crypto

  • Mark Cuban commented on the SEC’s actions to label upwards of 60 crypto assets as securities. 
  • Cuban asked for regulatory clarity on cryptocurrencies and his stance was supported by other influencers.

  • Cuban argued that other sectors have received much more transparency from the SEC in the registration process, which is missing for crypto. 

Mark Cuban, the billionaire investor and American entrepreneur, commented on the Securities & Exchange Commission’s (SEC) enforcement action on crypto assets and exchanges. Cuban argues that the regulator failed to provide adequate information for registration of digital assets and that it is “near impossible” to tell which crypto assets are securities. 

Also read: Shiba Inu price recovery uncertain as Shibarium launch likely to be delayed

Mark Cuban call for further clarity around crypto regulation

The billionaire entrepreneur argued that the SEC’s stance on cryptocurrencies is less transparent than other sectors of the economy. Cuban recently tweeted that an army of securities lawyers is required to determine which cryptocurrencies are securities. 

Cuban reviewed the SEC’s web page about the Howey test and tokens that conflict with the financial regulator’s enforcement policy. Cuban told his 8.8 million followers that the document is worth a read to get more clarity on which asset is or isn’t a security.

While there is no step-by-step outline, the document explains what crypto firm requirements are pursuant to US federal securities laws. Among the requirements, the regulator has included the need to disclose all information necessary for investors to make “informed investment decisions” and other “essential managerial efforts” that impact the success of the enterprise.

US Senator Cynthia Lummis recently slammed the SEC for failing to provide a “robust legal framework” for cryptocurrencies and their regulation. ​​

Senator Lummis’ stance is in line with Cuban’s take regarding the SEC crackdown on crypto. The SEC alleges that exchanges have violated several securities laws, most notably engaging in the sale of unregistered securities. The regulator now considers 68 crypto assets as securities and updated its allegations against the two crypto exchanges Binance and Coinbase.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.


RELATED CONTENT

Loading ...



Copyright © 2024 FOREXSTREET S.L., All rights reserved.