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SEC Chair Issues Warning to Crypto Industry

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SEC Chair Issues Warning to Crypto Industry

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Benzinga

3,839 Views • Sep 09, 2022

Description

Gary Gensler, chair of the SEC, said Thursday that most crypto tokens are securities and are being issued in violation of federal law. Gensler paraphrased the definition of a "security" by saying, “The investing public is buying or selling crypto security tokens because they’re expecting profits derived from the efforts of others in a common enterprise.” Gensler continued, saying, “These are not laundromat tokens. Promoters are marketing and the investing public is buying most of these tokens, touting or anticipating profits based on the efforts of others.”