Mike Novogratz Asserts That SEC’s Stringent Regulation Was Affecting Crypto Investors
The Bitcoin advocate had some things to say concerning the Securities and Exchange Commission. Recently, the regulatory agency faces some controversy in the community because of Ripple’s suit. The fintech company recently issued a detailed response, almost two months since the Federal body accused its executives of illegally selling the tokens.
The response included the firm asking why SEC did not require other prominent cryptocurrencies to register the ICO under SEC fillings. Now, Novogratz regards SEC’s regulations as ‘ass backward’ for the crypto industry. The entrepreneur seemed to not like SEC’s regulations, especially for Bitcoin investment. Some people claimed that an administration change could help solve some internal within SEC, which the country saw when Trump exited the Whitehouse for Biden.
Novogratz opines that SEC must prioritize crypto asset
Many people have pointed out the SEC’s strict regulation being a huge reason why crypto-related firms find it hard to survive in the country. Following SALT talks’ interview with the CEO, he revealed that the federal body has to make sure it sees cryptocurrencies and Bitcoin ETF approval as necessary.
The Galaxy Digital founder asserted that the watchdog had to secure investors’ interest by implementing laws that favor them. He also added that if it approves the Bitcoin exchange-traded fund, investors will save money. SEC’s law makes investors find it challenging to get access to some affordable crypto-related services.
The CEO said SEC had a duty of protecting small-scale investors. He also mentioned that Grayscale’s approval helped the business attract investors, thereby amassing over $25 billion, making investors pay increased transaction fees. Fortunately, Novogratz thinks that America’s present government would be sensitive to investor’s needs.
The businessman said that he thinks Gray Gensler was attuned to the crypto market’s needs and understands the roles he has to take to make it better. The crypto space also showed considerable interest in some of Biden’s nominees because a great part of them have had ties with the digital asset industry. Crypto enthusiasts see this, meaning that the individuals could implement crypto-friendly regulations to promote the industry.
Novogratz predicts SEC approving Bitcoin ETF within a year
As a popular digital asset, Bitcoin now gets attention from top players in the finance world, who seek an investment class, which would assure them quick returns on their investments.
Aside from institutional buyers’ attention, many countries now know Bitcoin, thereby looking for ways to regulate it. Experts believe that a critical Bitcoin feature is that it has no form of regulations like in the traditional financial system. They also explained that increased agitation for crypto regulations could turn investors to other asset classes.
Concerning the new administration, Galaxy Digital’s CEO predicts that the SEC would approve the ETF in the next twelve months. The executive seemed sure with his assertion when he added that the regulatory body would not an ETF. Still, Gensler’s position as the Chairman of SEC is not entirely sure, but many people hope that he would eventually become the agency’s head.
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