Bankless

The SEC Declares War on Crypto with Ryan & David

11 snips
Feb 15, 2023
Guest
Mike Selig
Mike Selig, a crypto lawyer and former CFTC regulator, breaks down the current state of crypto regulation. He discusses the SEC's aggressive actions, including the crackdown on staking services like Kraken and the scrutiny of stablecoins such as BUSD. Selig highlights the tension between regulation and innovation, emphasizing the urgency for decentralization. He also examines the impact of these policies on the future of cryptocurrency and the banking industry’s evolving role in servicing crypto businesses.
Ask episode
AI Snips
Chapters
Transcript
Episode notes
INSIGHT

SEC's Focus on Centralized Staking

  • The SEC targets centralized staking services due to their pooled assets and fixed returns.
  • These features resemble investment contracts, triggering the Howey Test's security definition.
INSIGHT

SEC's Atypical Approach

  • The SEC's approach to Kraken's staking service was a ban, not a request for adjustments and re-registration.
  • This contrasts with typical SEC procedure, which usually involves collaboration and rule proposals.
ANECDOTE

Gensler's Patronizing Tone

  • Gary Gensler's video explaining staking was perceived as patronizing by some in the crypto industry.
  • This condescending attitude differs from the previous administration's collaborative approach.
Get the Snipd Podcast app to discover more snips from this episode
Get the app