SEC’s Gary Gensler takes another swipe at crypto in educational video

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Another blow to the crypto industry has been dealt by the chairman of the US securities regulator, who claimed that many crypto platforms operate in violation of securities laws .

In an April 27 tweet, Securities and Exchange Commission Chairman Gary Gensler shared a 4-minute video of himself describing crypto assets as investment contracts before calling out platforms that offer such products to register with the SEC to protect US investors.

An investment contract exists when you invest money in a joint venture with a reasonable expectation of profit from the efforts of others, he said.

Intermediaries for investment contracts are required to comply with securities laws and register with @SECGov.

Instead, many crypto platforms argue that their investment contracts are something else.

The law cares about what something really is, not what you call it.

— Gary Gensler (@GaryGensler) April 27, 2023

Crypto markets suffer from a lack of regulatory compliance. This is not a lack of regulatory clarity. […] The law is clear, if you are a stock exchange, clearinghouse, broker or trader, you must comply, register with us, Gensler added.

The SEC has been at the forefront of the crypto crackdown in the United States, with Gensler continually claiming that virtually all crypto assets except Bitcoin (BTC) fall under securities classification.

Its Genslers believe that many crypto companies and platforms violate securities laws if they are not registered with the SEC.

In comments to Gensler’s latest video, many were quick to point out that prior to taking over as head of the SEC, Gensler had a completely contradictory view of the crypto market.

weird because a guy told me that three quarters of this space had already been determined by the securities and foreign exchange commission as not being a security pic.twitter.com/0YsRcae3St

— RYAN SAN ALTCOIN – rsa.eth (@RyanSAdams) April 27, 2023

Over the past week, a viral video has been circulating on Crypto Twitter where Gensler can be seen lumping crypto into the same category as cash and commodities and describing digital assets as non-securities.

Related: Coinbase Executives Respond to SEC’s Wells Notice In Person and On Video

The SEC Chairman’s comments come from a Blockchain and Money conference in 2018 when Gensler was employed as a professor at the Massachusetts Institute of Technology (MIT).

“Three-quarters of the market is not securities, it’s just a commodity, money, crypto,” Gensler said at the time.

Another – The clip below is from a fall 2018 MIT graduate course titled “Blockchain and Money”

Gary Gensler – the current chairman of the SEC, was the professor.

Again, I’ll let the video below speak for itself.

Conference 8: Public policies – October 1, 2018

“We will pic.twitter.com/rvweW2rz5t

— zk- (@ZK_shark) April 27, 2023

Earlier this month, Gensler was grilled by members of Congress during an April 18 hearing that drew widespread criticism over his leadership and the SEC’s approach to crypto regulation, which seems be regulation by application.

During the hearing, Gensler declined to officially confirm whether he thought Ether (ETH) was a security or not.

Magazine: Crypto Regulation Does SEC Chairman Gary Gensler have the final say?

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