US Securities and Exchange Commission engaged in blockchain
The US Securities and Exchange Commission announced the open competition for research for data in decentralized registries of major cryptocurrencies. The relevant information appeared on the SEC website as early as January 31. Based on the conditions of the department, those companies that are engaged in decoding and extracting information from blockchain can count on a partnership. In this way, the SEC expects to strengthen the tracking of fraud risks, as well as to provide such conditions in which information on digital assets will always be relevant for the further development of cryptocurrency management standards.
US Securities and Exchange Commission took up blockchain firmly
The Commission explained that it was considering options from which to get data from the most popular blockchain, including the publicly accessible elements and information on transactions. Companies that have submitted their bids for the competition should not only provide certain data, but also give their confirmation, a guarantee of reliability, accuracy and completeness of information.
It is possible to participate in the tender before Valentine’s Day – February 14. How the commission will continue to use the data remains authentically unknown. Perhaps the SEC is simply looking for ways to understand better the features of the projects when determining whether tokens are securities.
In addition, experts believe that this need for SEC arose due to the launch of bitcoin-ETF. Some time ago, the head of the commission, Jay Clayton, noted that he did not see the option of how to take these tools while there were manipulations on the market. Thus, a representative of the organization noted that price indicators in the market should be stable and protected from possible manipulations, both for institutional and for private investors. At the same time, Clayton clarified that this is solely his opinion, and not the position of the regulator.
In addition, the head of the SEC told how he determines whether securities are offered during the ICO. According to him, if the project involves the implementation of tokens to finance the company itself, then we are talking about stocks. At the same time, some tokens remain unclear to Clayton. Therefore, when in an interview with a civil servant they asked about Ripple and his XRP token, he left the answer, explaining that he needed more information to do so.
In addition, the head of the commission was asked about two ICO startups, who had to recognize their tokens as shares due to the pressure of the regulator. As a result, these companies paid rather big fines and gave all the collected money back to investors. Clayton explained that at this point, both companies are cooperating with the SEC, and the measures taken may differ from case to case.
Clayton’s opinion corresponds to the general direction of the SEC, chosen for the past year. For a long time, the regulator has been carefully checking ICO start-ups, which, he believes, violate securities laws. For example, Salt Lending and Titanium were the loudest such investigations – the latter was closed for good at the end of inspections.