Securities and Exchange Commission chief Gary Gensler said cryptocurrency platforms have become so big that they need to embrace regulation or risk losing the public's trust because "finance is about trust," warns Gary Gensler, the chairman of the United States Securities and Exchange Commission.
"At about $2 trillion of value worldwide, [the crypto market is] at the level and the nature that if it's going to have any relevance five and 10 years from now, it's going to be within a public policy framework," Gensler told the Financial Times in an interview published Wednesday. "History just tells you, it doesn't last long outside. Finance is about trust, ultimately."
Since his appointment in April, the new SEC chairman has repeatedly called for robust regulation for the crypto ecosystem, He explained that crypto activities should be under the same public policy imperatives to protect investors and combat illicit financial activities, on the other hand, some crypto leaders argue that stricter regulations would not necessarily help prevent fraud. For lawmakers, this is a revenue opportunity, however, for the crypto industry in general, this is not a welcome development.