Wall Street’s top regulator may use its authority to exempt crypto companies from certain securities laws to help the industry come into compliance, Securities and Exchange Commission Chair Gary Gensler said Thursday.
“We do have robust authorities from Congress to use our exemptive authorities that we can tailor” for disclosure and investor protection, Gensler said during an interview with Yahoo! Finance.
The comments are among Gensler’s most pointed yet on how the agency might work with the digital asset community. He mentioned that such an approach is used for asset-backed securities and equity offerings.
Gensler repeated a warning that many crypto companies are “non-compliant” without naming any. Such companies are deemed to be offering unregistered securities.
“There’s a potential path forward,” Gensler said. “I’ve said to the industry, to the lending platforms, to the trading platforms: ‘Come in, talk to us.’”
The digital asset industry, however, has said that the SEC hasn’t provided a clear path to allow companies to register.
Crypto lending platforms have been among the most hard-hit during the recent liquidity crisis. Celsius Network Ltd. filed for Chapter 11 bankruptcy, while BlockFi, another hobbled crypto lender, received a capital injection from crypto exchange FTX US.
In February, BlockFi reached a settlement with the SEC over a product that paid customers high interest rates by lending out investors’ digital tokens. BlockFi said at the time it would pursue SEC registration of the product.
Elsewhere, Wells Fargo Advisors adds a $400 million Morgan Stanley veteran in Naples as an ex-Cetera advisor goes independent with LPL
According to a federal charges Bradley Heppner, 60, received more than $150 million in payments through funneling money from GWG Holdings to a shell company.
A $1B fund allegedly skimmed 30% off the top, then swapped cash for locked-up stock.
Insiders allegedly rewrote projections three times in four days.
TCI Wealth Advisors also has also tapped JIFFYAI to unify onboarding and servicing, while TradePMR adds ICE market data to its Fusion advisor platform
Knighthead Life entered the market with a competitive MYGA. A strong launch earned advisor confidence and paved the way for FIAs.
As AI makes financial information more accessible than ever, Lana Hock explains why human judgment, trust, and empathy remain the qualities clients value most in a financial advisor