2020 and the present year has seen the increased interest of many traditional institutions flood into the cryptocurrency and digital assets market. The recent additions include Tesla, BNY Mellon, and Mastercard. However, this has alerted regulators and has highlighted the need to form better regulatory infrastructure to allow growth in the crypto ecosystem.
As per reports, SEC Commissioner Hester Peirce highlighted that there was an urgent need for clear cryptocurrency regulations and as we see more and more institutions enter Bitcoin and other crypto assets, Peirce noted that it was adding to the urgency of the situation.
Peirce stated:
“That adds to the urgency of us taking some sort of action in this area to provide more clarity.”
However, the “Crypto mom” [as she is lovingly called in the crypto community] pointed out the recent “Reddit Rally” in GameStop and other stocks, was not enough to form policy conclusions but noted that it was “wonderful” that a new generation of investors was able to participate in the market.
Peirce has been an advocate for cryptocurrencies for a long time and has been among those who have requested regulatory clarity for the industry.
She added:
“It’s not only that there have been calls for clarity for some time and that a new administration brings the chance to take a fresh look, but it also is a moment where it seems others in the marketplace are also taking a fresh look.”
These statements from Peirce come at a time when the SEC is exploring the various issues that currently plague the digital assets market. However, there is no better time than now for the authorities to delve and form guidelines, especially as a new wave of interest surges into crypto.
