The SEC’s (Securities and Exchange Commission) decision to prosecute three individuals for cryptocurrency insider trading has attracted a lot of negative attention.
Per the report, a former Coinbase employee informed his brother and a friend about the assets that would be published on the exchange, and they used it to buy in advance for profit.
The SEC is criticizing many in this area for pressing charges without establishing clear guidelines. However, for Cuba, the very development of those norms could be problematic.
He has openly criticized the US SEC for using questionable regulations to govern bitcoin and the cryptocurrency sector, claiming that a move could significantly damage the market.
The investigation by the SEC has raised concerns about poor behavior among major corporations and leaders and how it could stunt market growth in the future.
Mark Cuban firmly believes that the institution should be more informed about the tokens it treats as securities that are under its control. He criticized the fact that the SEC did not state its position before taking enforcement action.
Cuba doesn’t think the SEC can shy away from a fight and thinks this is the beginning of tough times for the crypto space. Taking a jibe at the commission, he said that it seemed that it was only keeping its lawyers busy.
Litigation SEC
This isn’t the only legal proceeding from the SEC – the Ripple vs. SEC case has been going on for some time.
All of this could suggest that the SEC lacks fairness in its dealings with the cryptocurrency sector, especially since Ripple could easily win, as the law and framework seem to be on its side.
For years, many crypto businesses have been urging the SEC and the government to create a clear regulatory framework for the cryptocurrency and blockchain sector. However, it does not seem that the institutions concerned are in a hurry to do so.
it’s not even the first time mark cubano The SEC is mocked. The SEC charged Mark with insider trading in 2014; However, the billionaire emerged victorious.
ground level
The upcoming increase in regulation will affect the crypto business significantly. There is no denying that it can boost confidence and provide a stronger foundation for the entire market. But, on the other hand, crypto projects may be required to comply with many more regulations, which can be costly and time-consuming.
If you are an avid crypto investor or trader, it is essential to keep a close watch on such developments and give your opinion regarding the same on various social media platforms. stay alert!