Billionaire Mark Cuban Expects SEC to Enforce Crypto Registration Rules ‘Nightmare’ – Bitcoin News Regulatory

Shark Tank star and NBA team owner Dallas Mavericks, Mark Cuban, has warned that the US Securities and Exchange Commission (SEC) will set rules for registering tokens that will be “the nightmare that awaits the crypto industry.”

Mark Cuban Expects the Securities and Exchange Commission to Issue a Crypto Regulation ‘Nightmare’

Billionaire Mark Cuban, the Shark Tank star who owns the NBA team Dallas Mavericks, warned in a tweet Saturday about how the Securities and Exchange Commission will regulate cryptocurrency.

His warning came in response to a tweet by U.S. Senator Pat Toomey (R-PA) that criticized the SEC for its enforcement action against a former Coinbase employee where nine crypto tokens were identified as securities. Coinbase quickly disputed the claim that it had listed crypto securities.

Tommy noted that the enforcement action “is an excellent example that the SEC has a clear view of how and why certain tokens are classified as securities. However, the SEC failed to disclose its view before initiating enforcement action.”

Cuban, who has a net worth of around $4.7 billion, believes the Securities and Exchange Commission (SEC) will set rules on how to register crypto tokens that will be a “nightmare” for the crypto industry. Tommy replied, “I guess that’s bad? Wait until you see what they come up with to score tokens. This is the nightmare that awaits the crypto industry,” the Shark Tank star wrote. Otherwise, how can you keep thousands of lawyers on staff and create reasons to demand more taxpayer money? “

Billionaire Mark Cuban expects the SEC to enforce crypto registration rules

Coban’s tweet includes a link to a file Youtube video His attempt to file a no-action letter with the Securities and Exchange Commission to ensure that the stock purchase he is about to make will not violate the laws of insider trading. However, the billionaire showed that the process is very complicated, stressing that it does not give investors confidence that they will not break the law. “What I found shocked me even,” Cuban wrote after going through the process as directed by the Securities and Exchange Commission.

Most letters of no-action describe the request, analyze the particular facts and circumstances involved, [and] Discuss applicable laws and rules,” the SEC stated on its website. If the no-action request is approved, “the SEC staff will not recommend that the Commission take enforcement action against the applicant based on the facts and the declarations set out in the individual or entity’s application.

Cuban previously criticized the SEC for taking an enforcement-focused approach to regulating the crypto sector.

In August, Dallas Mavericks owner called Securities and Exchange Commission Chairman Gary Gensler about his focus on “investor protection.” “If you work on behalf of investors, you make it easier for investors and entrepreneurs to ask and answer questions. You make it nearly impossible. Those [who] He stressed that lawyers could not afford their expenses.

The Securities and Exchange Commission (SEC) has recently come under fire for regulating the crypto sector through enforcement. Last week, US Congressman Tom Emer criticized the Securities and Exchange Commission for “cruising companies outside their jurisdiction.” “Under Gensler’s presidency, the SEC has become a power-hungry regulator, politicizing enforcement, enticing companies to ‘come and speak’ to the Commission and then hit them with enforcement action, discouraging good-faith cooperation,” he emphasized.

Do you agree with Mark Cuban? Let us know in the comments section below.

Kevin Helms

Kevin, an Austrian economics student, found bitcoin in 2011 and has been a missionary ever since. His interests lie in Bitcoin security, open source systems, network effects, and the intersection of economics and cryptography.

photo credits: Shutterstock, Pixabay, Wikicommons

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