Former SEC head and Treasury Undersecretary Believed Existing Crypto Regulatory Framework Is Ideal

By Robin Wong | June 8, 2021

Former SEC Chairman, Jay Clayton, and former Undersecretary of the Treasury, Brent McIntosh have reportedly offered their support for the current regulatory regime for crypto, via a Wall Street Journal article. 

Specifically, with the US suffering from the impact of two major ransomware exploits, crypto has been placed under a rather intense scope, regarding whether the currently applied regulatory framework needs adjustments. 

Both Clayton and McIntosh reportedly highlighted how hard it is to achieve the balance of regulations with proper pragmatic nature, to make sure basic consumer protections are sufficient, at no cost of harming the innovation of the crypto sphere. 

The pair further alerted the authorities that excessive policy adjustments will have a possibility of holding back growth, and claimed that the crypto industry, as a whole, could easily undergo excessive or insufficient regulatory supervision and that the current guideline is ideal.

“Existing regulatory frameworks provide the tools to address many of the risks of new technologies without stifling their promise.”

They offered recommendations to lawmakers, to keep their attempts focused on the principal objectives, supporting current financial regulations, nominally financial stability and the prevention of fraud and illicit activity.

The pair drew up a conclusion, sharing that a coordinated take on the matter is necessary to make sure America maintains its position as a financial leader. 

“A prompt, coordinated approach to regulatory clarity that builds on our existing knowledge base will empower responsible innovation and ensure that the U.S. financial system continues its leadership role in the formation of capital, the provision of credit, and the maintenance of stability on which the modern global economy depends.”

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