Cryptocurrency prices are falling today as the US Securities and Exchange Commission (SEC) announces a new set of rules for digital assets.
Cryptocurrency prices are falling today after the US Securities and Exchange Commission (SEC) announced that it would be introducing new rules to govern digital assets. The announcement was made in a press release on October 26th, 2018, which detailed the agency’s intentions to “improve transparency and protect investors.”
The SEC is currently responsible for overseeing cryptocurrencies, but it has been clear for some time that more oversight is needed. In July 2018, SEC Chairman Jay Clayton released a statement saying that cryptocurrencies like Bitcoin aren’t considered securities because they aren’t backed by a company or organization. However, he also said that many other digital assets could be considered securities depending on their structure.
The latest announcement from the SEC details how it plans to tackle this issue. The agency will now require all digital asset exchanges to register with them and will also create an online portal where investors can view information about each exchange and its corresponding assets.
