Gary Gensler, the chairman of the US Securities and Exchange Commission (SEC) has reiterated his position that regulation of crypto is of paramount importance in a recent interview.
Gensler also took note of crypto exchanges during the interview and pointed out that these services should seek SEC approval for their operations.
He indicated that the SEC will continue to work on enforcement cases and “a lot of people are going to get hurt.”
The SEC chair also compared the burgeoning crypto industry to the Wildcat banking era of the 19th century, when banks in remote areas issued worthless paper currency backed by bonds and securities.
While Gensler was highly critical of crypto’s speculative aspect, he admitted that its underpinning technology had encouraged evolution across the globe.
Nevertheless, he maintained that crypto is not a viable form of private money in the long term and some forms of it, like stablecoins, are akin to “poker chips” at the casino table.
A new disclosure has revealed that SEC chair Gary Gensler will receive payments from Goldman Sachs for his previous position as chair of the Commodities and Futures Trading Commission (CFTC) from the next year.
The 2020 disclosure indicates that Gensler would receive $977 a month, or $11,724 a year, starting from 2022.
Reports indicate that Gensler has $50 million to $100 million in investments, a majority of which are concentrated in the stock market.
Before his appointment to the SEC, Gensler taught a course on blockchain at the Massachusetts Institute of Technology (MIT). He has also penned several editorials on Bitcoin and blockchain innovation. Despite his extensive involvement with the industry, Gensler never invested in Bitcoin or any other digital asset.