The PCAOB—which sets audit standards, inspects audits and disciplines audit firms—has said it can only oversee audits of public companies and SEC-registered broker-dealers. The watchdog in 2019, however, set up a team of inspectors who focus on emerging audit risks, including in the cryptocurrency field.
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Those efforts aren’t enough for Sens. Ron Wyden (D., Ore.) and Elizabeth Warren (D., Mass.). In a letter last month to PCAOB Chair Erica Williams, they said the watchdog ignored what they called questionable practices by auditors of crypto companies. The lawmakers cited PCAOB rules requiring registered accounting firms to meet the regulator’s standards when preparing any audit, even if an audited firm falls outside the watchdog’s jurisdiction.
Source: Lack of Crypto Audit Regulation Raises Questions About PCAOB Authority – WSJ
