Regulation
SEC Accused of Stifling Innovation in Seven US States
6:00 p.m. ▪ 3 min reading ▪ by Mikaia A.
The SEC, sometimes more destructive than regulatory for the crypto industry, is once again at the center of the debate. Accused of stifling innovation and harming a booming market, the SEC is facing a coalition of seven American states that vigorously defend the freedoms of the cryptocurrency industry. Let’s explore this legal battle and its implications for the future of cryptocurrencies.
A coalition of states against SEC regulation
THE the shadow of the SEC hammer, already challenged by Judge Michael Wiles, often hangs over the cryptocurrency industry, and this time, seven american states have decided to say “stop” to what they consider excessive adhesion.
Led by Iowa Attorney General Brenna Bird, This coalition filed an amicus curiae brief on July 10denouncing the SEC’s crypto regulation. Supported by the states of Arkansas (where bitcoin mining has become a blessed activity), Indiana, Kansas, Montana, Nebraska and Oklahoma, these representatives argue that The SEC’s Attempt to Regulate Cryptocurrencies Is Nothing Less Than an Attack on Market Freedom and Innovation.
“The SEC’s move could prevent states from protecting their citizens from scams and harm free competition,” the statement said.
For states like Iowa, which pride themselves on actively protect their citizens from scamsThe SEC’s actions are seen as an obstacle to its mission.
Local authorities fear that this centralized power will hamper effective prosecution of fraudsters while stifling a booming industry.
The Impact of Regulation on the Crypto Industry
The SEC initiative is far from unanimousespecially in states that ardently defend the free market. For members of this coalition, this excessive regulation will far beyond simple consumer protection.
This is likely freezing innovation And causing economic devastationIn a market where innovation is essential, the weight of restrictions could reduce crypto players to a secondary role on the global stage.
- Stifled innovation: Crypto players may be forced to migrate to more welcoming markets.
- Local economy at risk: States like Iowa, which focus on technology development and combating scams, see these regulations as a direct threat.
SEC regulation is seen not only as an obstacle, but also as an obstructive force.
“Biden’s SEC is trying to prevent states like Iowa from doing their jobs,” the statement said.
Faced with an SEC accused of overstepping its bounds, the battle is intensifying. American states are mobilizing to defend a free and innovative crypto market, contesting regulation deemed excessive and destructive. And Donald Trump, for his part, seems to have understood the weaknesses of the current administration. betting on bitcoin.
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Mikaïa A.
The blockchain and crypto revolution is underway! And the day the impacts will be felt on the most vulnerable economy in this World, against all hope, I will say that I had something to do with it
DISCLAIMER
The views, thoughts and opinions expressed in this article are solely those of the author and should not be considered investment advice. Do your own research before making any investment decision.