SEC Chairman Gary Gensler: Bitcoin Competes With the U.S. Banking System

  • Bitcoin is an “off-the-grid” alternative to the traditional financial system, SEC Chairman Gary Gensler said.
  • Gensler joined former SEC chairman Jay Clayton on Wednesday to talk about Bitcoin, cryptocurrency, and ETFs.
  • Issuers should “come within the investor protection remit” to launch a spot BTC ETF in the U.S., Gensler said.

Bitcoin is a competitor to the U.S. banking system and its worldwide consensus, the Securities and Exchange Commission (SEC) Chairman Gary Gensler said on Wednesday.

“We layered over our digital money system about 40 years ago with money laundering and various sanctions and regimes around the globe; we layered that over a digital currency system called our banking system,” Gensler said. “In 2008, Satoshi Nakamoto wrote this paper in part as a reaction, an off-the-grid type of approach. It’s not surprising that there’s some competition that you and I don’t support but that’s trying to undermine that worldwide consensus.”

Gensler’s remarks came during the DACOM Summit 2021, a compliance and market integrity event live-streamed on Wednesday. The SEC chairman joined Jay Clayton, who was in Gensler’s shoes as the commission’s head a few years past, for a conversation around Bitcoin, cryptocurrencies, digital assets, exchange-traded funds (ETFs), and decentralized finance.

Bitcoin, The Dollar, And Digital Assets

Throughout the conversation, the SEC chairman kept drawing a dividing line between Bitcoin and digital assets. While Gensler did not vouch for one or the other, he acknowledged their differences, highlighting the securities-like nature of many projects.

Source link Bitcoin Magazine

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