SEC Commissioner Hester Peirce Said No to Crypto Bailouts
SEC Hester Peirce Crypto
Modified Date:- Published Date:-Categories: Cryptocurrency
The most pro-crypto EC commissioner of the commission's members, Hester Peirce, told Forbes that market crashes tend to identify companies and developers who are making a really good product. She sees the decline in the crypto market as an opportunity for all stakeholders. “When things are a little tough in the market, you get to know who is really building something that can last and what is going to pass,” she said. Peirce also believes that regulators can take advantage of this opportunity to change how the market is regulated. The SEC is redoubled its efforts to take control of the crypto market, and the commissioner believes that there are things to learn in the current circumstances. Peirce is affectionately known in the industry as "Crypto Mom", as she is comparatively more open-minded to the crypto market. She says she would not support the use of bailouts to protect crypto companies, especially those that have become more leveraged and do not use risk management principles. "There is no bailout mechanism in crypto. And that's considered as a market force. I don't want to come in and say we try to figure out a way to bail you out if we don't have the authority to do so." will do. "But if we did, I wouldn't want to use that right, we should really let these things play out," she said. Various aspects of the crypto market are now under the scrutiny of regulators around the world. European Central Bank President Christine Lagarde recently said that cryptocurrencies and lending should be regulated, and this could happen through another regulatory framework.The recent market crash has brought decentralized finance (DeFi) particularly to the attention of lawmakers. Stablecoins are now seen as a major point of focus.
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