SEC Chairman Jay Clayton appeared on CNBC’s Squawk Box on Nov. 19, 2020, to remark that the current inefficiencies of payment systems are driving the Bitcoin price rally. Even though Jay Clayton is not a staunch supporter of Bitcoin, his latest interview makes him appear bullish otherwise. Jay Clayton, who will step down from his Chairman role by the end of the year, also confirmed that the SEC believes that Bitcoin is not a security but a method of payment and store of value.
Squawk Box host Andrew Ross Sorkin asked why SEC does not regulate Bitcoin and other cryptocurrencies to which Clayton responded:
In fact, Clayton was first among the SEC members to issue warnings on the dangers involved in an ICO investment during 2017. He wanted to make people aware that ICO investment products are usually regarded as securities offerings and are subjected to the regulations.
Clayton, however, believes that Bitcoin will continue growing while regulations centered around it might evolve further:
Although Clayton is not completely against Bitcoin and other cryptocurrencies, he did regularly emphasized the risks of an average trader investing in a Bitcoin ETF.