The U.S. Securities and Exchange Commission has no plans to ban cryptocurrencies, chair Gary Gensler said during a congressional hearing on Tuesday. He added that any decision to ban crypto is “up to Congress.”
- Gensler responded to Rep. Ted Budd’s question about whether the U.S. plans to ban crypto along the lines of China by saying: “I think our approach is really quite different. It’s a matter of how do we get this field [of cryptocurrencies] within the investor and consumer protection that we have.”
- Gensler’s comments echo those made by Federal Reserve chair Jerome Powell last week. The central bank head told the House Financial Services Committee the Fed has no plans to ban crypto as an asset class.
- Gensler reiterated his previous comments about most cryptocurrencies being securities, how exchanges should check in and register with the SEC and how stablecoins, which he previously equated to “poker chips” at a casino, pose a systemic risk to the economy.