Gensler said this in response to CNBC’s question about whether the SEC chairman is “interested in the top cryptocurrencies?”
SEC Chairman Gary Gensall (Nikhilesh Dey/CoinDisk)
SEC Chairman Gary Gensler once again stated that Bitcoin is not a security, “You can now express this view by purchasing an ETF product.”
Given that it is election season, Gensler declined to comment on his thoughts on Donald Trump’s plan to create a strategic Bitcoin reserve for the United States.
“Not liking the rules is not the same as not having rules,” he said, insisting that current law gives the SEC the power to regulate the cryptocurrency space.
U.S. Securities and Exchange Commission (SEC) Chairman Gary Gensler has reiterated his stance that Bitcoin (BTC) “is not a security,” but reiterated his stance on regulatory clarity in the cryptocurrency space in an interview with CNBC on Thursday.
“What my predecessors and I have said about bitcoin is that it’s not a security,” Gensler said. “Now you have a way to really express that view — by buying it through an exchange-traded product.” Such products were approved by the SEC in January, marking a major shift in the agency’s attitude toward the cryptocurrency space.
Gensler was responding to a question from CNBC’s Joe Kernen, who asked if the SEC chairman was “interested in the top cryptocurrencies?”
"How much do you know about so-called Altcoin? There are 15,000 to 20,000 out there," Gensler asked.
Gensler declined to reveal his opinion on Donald Trump’s idea of using the current government’s holdings as the centerpiece of the nation’s strategic bitcoin reserve.
“I have a point of view, but given my role and the fact that we’re in an election season, I’m going to stick to my bottom line for the audience, which is the securities markets, and Chairman Powell and others can have their say on that.”
Beyond Bitcoin, Gensler maintains that the vast majority of other tokens meet the legal definition of securities that fall under the SEC’s jurisdiction. That position persists despite industry pushback, lawsuits against the SEC and a recent two-hour slam by the SEC at a congressional hearing titled “Dazed and Confused: Breaking Down the SEC’s Politicized Approach to Digital Assets.”
When asked by CNBC whether the SEC regulates through litigation, Gensler again argued that existing law gives his agency the power to oversee the crypto space.
“Not liking rules is not the same as not having rules.”
Gensler also said he doesn’t know where Bitcoin will be in 20 years, but he feels “the space is going to face challenges in building trust,” and it “already has” challenges when “there are so many scammers, fraudsters.”
“Look at the leading figures in the space, in crypto two years ago. Many of them are now in jail, and I’m not just talking about SBF ... There are tens of billions of dollars in losses and bankruptcies and so on,” Gensler said Thursday. “What area of innovation in the United States can survive without building trust and protecting investors or consumers?”
