CNBC show “Mad Money” host Jim Cramer recently made a request to the US securities regulator. In Thursday’s episode of his show, Cramer requested the US Securities and Exchange Commission to increase its control over cryptocurrency pump-and-dump schemes.
According to Cramer, crypto pumping is one of the most “troubling issues” that the securities regulator should take into account at the moment. He claims that there are many cryptocurrencies that are being hyped by their creators so that they can be liquidated once they raise a decent amount.
Kramer said, “I think it’s important for the SEC to aggressively pursue these goals.”
Hosts fear that Congress may allocate crypto within the purview of the Commodity Futures Trading Commission (CFTC). The CFTC, the SEC’s sister regulator, will take a very passive approach to cryptocurrencies. According to Jim, this would be a big mistake given the widespread illegal behavior in the crypto space.
SEC Chairman Gary Gensler also denounced the attempt to discredit his agency. Gary claimed that the bill would negatively affect capital markets. CNBC host Jim said the SEC should take action against special purpose acquisition companies (SPACs) because it is “unfair” to subject the general public to securities with such “massive defects,” even if they are disclosed.
A month ago, Jim speculated that the cryptocurrency industry had more room to recover after the crash in June. However, even though the major coins outperformed that month, they are on the verge of collapse once again due to macroeconomic uncertainty.
Despite reclaiming the $25,000 mark just a few days ago, bitcoin price is now hovering near the $21,000 price point.