After decisions in the Ripple case that energized crypto advocates and the even more pronounced failure of the SEC’s Grayscale bitcoin ETF dispute, Gensler is holding the line on warning about the sector flaunting securities laws, according to written testimony set for delivery to the Senate Banking Committee on Tuesday.
“Given this industry’s wide-ranging noncompliance with the securities laws, it’s not surprising that we’ve seen many problems in these markets,” Gensler said in the remarks released Monday, on the eve of the routine SEC oversight hearing.
Gensler will return to a frequent talking point at the hearing:
“The vast majority of crypto tokens likely meet the investment contract test,” according to his testimony. “Given that most crypto tokens are subject to the securities laws, it follows that most crypto intermediaries have to comply with securities laws as well.”
Source: Defiant Gensler to Revisit Crypto Grievances in Senate, Despite XRP, Grayscale Setbacks
