SEC’s ‘Regulation by Intimidation’ Strategy Criticized by Digital Chamber: Implications for Bitcoin (BTC) and Crypto Market

• The Digital Chamber criticizes the SEC’s latest Wells Notice to Robinhood Crypto, urging Congress to review the SEC’s regulatory approach.
• Despite Robinhood Crypto’s proactive compliance efforts, the SEC’s actions are seen as a threat to digital asset development and investor protection.
• Industry experts and legislators call for a review of the SEC’s aggressive regulatory approach, which they argue undermines crypto innovation and investor protection.

The Digital Chamber criticizes the SEC’s latest Wells Notice to Robinhood Crypto, calling for a review of the SEC’s regulatory approach. Despite Robinhood Crypto’s proactive compliance efforts, the SEC’s actions are seen as a threat to digital asset development and investor protection.

Digital Chamber Criticizes SEC’s Overreach

The issuance of a Wells Notice to Robinhood Crypto by the Quality Examination Council has attracted strong criticism from the Digital Chamber, a digital asset sector trade association. This is part of a chain of similar regulatory moves targeting cryptocurrency players, such as Uniswap and Consensys. The Chamber calls these actions an unmitigated overreach of the regulatory authority by the SEC, taking place without a clear congressional mandate.

Proactive Compliance Efforts Overlooked

One strategy Robinhood Crypto used in its regulatory engagement was to set up a special-purpose broker-dealer designed for its crypto operations. However, such a proactive approach notwithstanding, the Digital Chamber sees the SEC’s move to deliver a Wells Notice as a threat to the develo... Read the full article for FREE at COINOTAG!