Today, the Senate Committee on Banking, Housing and Urban Affairs held a hearing entitled, Virtual Currencies: The Oversight Role of the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission. The witnesses were SEC Chairman, Jay Clayton, and CFTC Chairman, J. Christopher Giancarlo. We've analyzed their comments and what it means for the crypto space for our clients. To find out how to access our research, please fill out a request for information form here.
Some of the memorable quotes from the hearing were:
Chairman Clayton - “We should all come together, the […] banking regulators […] and have a coordinated plan for dealing with the virtual currency trading market.”
Chairman Giancarlo - “We owe it to this new generation to respect their enthusiasm about virtual currencies with a thoughtful and balanced response, not a dismissive one, and yet we must crack down hard on those who try to abuse their enthusiasm with fraud and manipulation.”
Chairman Clayton - “Initial Coin Offerings are securities offerings […] I believe that every ICO I have seen is a security.”
Senator Warner - “I think we may be on top of something that is transformational and I don’t think you can separate the underlying distributed ledger or blockchain from these of these crypto assets.”