The legal officer warned other regulators that the US SEC may escalate enforcement actions this month.
Jake Chervinsky, the Chief Legal Officer of VariantFund, suggested that the market may experience an increase in US SEC enforcement actions by the end of September.
Despite the criticisms of executives, United States regulators persist in their obstructed approach to the crypto market. Stakeholders express dissatisfaction with these actions, which they perceive as hindering innovation in the market and fostering negative sentiments.
US SEC may intensify its crypto scrutiny
Jake Chervinsky observed that the market may experience an increase in enforcement actions this month. He emphasized that the fiscal year will conclude on September 30 for most regulatory bodies, including the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC). The consequence is that teams are beginning to intensify enforcement actions to enhance performance reports in anticipation of future budgetary requests.
“Please be advised that the fiscal year of the US SEC, CFTC, and other regulators concludes on September 30.” In September, it is common to observe a surge in enforcement actions as organizations supplement their performance reports and budget requests for Congress. The month may be quite hectic.
This may be the case, as regulators take pride in ratcheting up their actions and earning points for the number of cases won or at least pending judgment. Nevertheless, some crypto users maintain that the SEC may pursue out-of-court victories and settlements, contravening this analysis.
Uniswap, a decentralized crypto exchange, was assessed a $175,000 settlement sanction by the CFTC for engaging in illegal digital asset derivatives trading.
The Path to Unambiguous Regulations
Despite the US SEC and CFTC’s increasing regulatory actions, crypto enthusiasts continue to advocate for establishing explicit regulations in the United States. The rationale behind the necessity of transparent regulations is to enhance innovation and stimulate market investment in the space.
In the opinion of most commentators, the upcoming elections will be a game-changing event as candidates from both parties prioritize sectors. On the one hand, Trump has become pro-bitcoin, exacerbating sentiments. Conversely, Kamala Harris‘ campaign received cryptocurrency donations from Coinbase despite her opponent’s undetermined crypto stance.
