As organizations move into the cryptocurrency space, the need for clear rules around digital assets becomes critical, according to a Securities and Exchange Commission official.
SEC Commissioner Hester Pearce believes that clear rules for cryptocurrencies are needed now more than ever, as companies like Tesla and Mastercard are actively adopting an alternative asset class.
On Saturday, Pierce discussed with Reuters the implications of adopting corporate crypto after a series of massive cryptocurrency incidents in recent weeks. After Elon Musk’s Tesla hinted at bitcoin (BTC) payments, several companies, including the oldest U.S. bank BNY Mellon and payment giant Mastercard, have announced plans to offer crypto services.
“This adds that we need to urgently take some action in this area to bring more clarity,” said the Commissioner. Often referred to in the crypto community as the “Crypto Mom”, Pierce has consistently advocated clear crypto rules and urged the SEC to provide more clarity so that the crypto industry can thrive without fear of breaking the law.
Pearce noted that the new presidential administration, combined with pressure from institutional investors, could provide a new perspective on cryptocurrency regulation:
“Not only has there been a need for clarity for some time now and that the new guidance provides an opportunity to look in a new way, but it is also a moment when other market participants also seem to be looking in a new way.”
Pierce also influenced the GameStop saga, saying it was too early for regulators to draw conclusions about meme-based policies, although he supports the next generation of traders in the market.
As previously reported, US regulators considered the popular trading app Robinhood to suspend trading on GameStop after Reddit r / WallStreetBets took a short-term squeeze, pushing the price up to over $ 370.
Robinhood President Vlad Teneff and Citadel President Ken Griffin will address Congress alongside other participating parties on Thursday.