U.S. Billionaire Mark Cuban in a recent tweet has criticized the U.S. Securities and Exchange Commission on how it approaches the crypto market.
The tweet came after the SEC Chair, Gary Gensler, tweeted about his Op-Ed published in the Wall Street Journal where he mentioned treating the crypto market and capital market similarly.
Cuban mentioned that since the agency understands crypto lending/ finances, then they should publish “bright line guidelines” and make it open for comments.
After the SEC sued Ripple, its “regulation by enforcement” approach has been called out and criticized by various crypto platforms and influencers.
Gensler in his Op-Ed compares crypto-lending platforms with car manufacturing. He said that cars use basic safety features despite innovations in the automotive. Similarly, there is no reason for differential treatment between the crypto market and capital market just because “it uses a different technology.”
According to Gensler, there is a need for all crypto companies to comply with the current securities laws after the recent events. He has stressed the fact that all the cryptocurrency lending platforms that offer securities fall under the purview of the SEC. He emphasized that this helps to “protect investors and increase trust in our markets.”
Gensler encourages crypto-lending platforms to “come in and talk to SEC staff,” as it will be beneficial for investors and the crypto market. Cuban remarked “you using Calendly these days?” for this statement.
The billionaire points out the lack of clarity about how crypto companies can communicate SEC.
Gensler has repeatedly said that the majority of cryptocurrencies are unregistered securities. However, he recently called Bitcoin a commodity.