US SEC commissioner mentioned the urgent need for clear cryptocurrency regulations amid the adoption of digital currencies by leading companies such as Tesla and Mastercard.
During an interview with Reuters, the US Securities and Exchange Commission (SEC) commissioner praised the involvement of a new generation of investors in financial markets. Peirce said that it was too early to draw policy conclusions from the recent Reddit frenzy in stocks and other crypto assets.
Peirce has asked for clear cryptocurrency regulations
Hester Peirce is known for her crypto-friendly stance, and the crypto community nicknamed her as “Crypto Mom.” She asked for clear crypto regulations and to remove the uncertainty regarding digital assets’ status in the United States. “It’s not only that there have been calls for clarity in crypto regulations for some time and that a new administration brings the chance to take a fresh look, but it also is a moment where it seems others in the marketplace are also taking a fresh look. That adds to the urgency of us taking some sort of action in this area to provide more clarity,” SEC commissioner said.
Regulators around the world look to regulate the crypto industry
Regulatory authorities are planning to regulate cryptocurrency assets amid growing demand from retail traders and the involvement of institutional investors globally. As previously reported, Tesla, the world’s largest electric-car marker, revealed in its latest filing that the company invested $1.5 billion in the flagship cryptocurrency, Bitcoin. Mastercard, one of the leading global financial companies, announced in the previous week that the firm is going to accept cryptocurrencies in 2021. The SEC Commissioner said that there is an urgent need for a clear crypto regulatory framework after major companies’ involvement in different cryptocurrencies.
The SEC is considered as an important authority for the cryptocurrency market. There was a significant crash in crypto assets after the SEC filed a lawsuit against Ripple Labs for selling unlicensed securities in the form of XRP.