The “SEC Stabilization Act” introduced by United States Representative Warren Davidson into the House of Representatives has put the job of Securities and Exchange Commission (SEC) Chair, Gary Gensler, at risk. The bill seeks to fire Gensler, redistribute power within the SEC, and add a sixth commissioner to the agency, among other changes. Meanwhile, the world’s largest investment company, BlackRock, has applied for a spot Bitcoin exchange-traded fund (ETF) in the U.S. Approval of this application would make it the first of its kind in the country. The SEC, which has so far not approved a spot Bitcoin ETF, declined to comment on these developments.
In other news, Binance CEO Changpeng Zhao has denied allegations that the exchange has secretly been selling Bitcoin to stabilize the price of its BNB token. The crypto exchange continues to hold a significant amount of FTX Token, the native token of the now-defunct FTX exchange. This contrasts with a video from 2018 in which Gensler, then a professor at MIT, stated that Bitcoin, Ether, Litecoin, and Bitcoin Cash were not securities.
Amid ongoing legal battles related to allegations of operating as an unregistered securities exchange, Binance.US has hired former SEC enforcement official George Canellos as part of its legal team. Following the suspension of U.S. dollar deposits and potential pausing of fiat withdrawals, Binance.US cited “extremely aggressive and intimidating tactics” from regulators.
Traders and investors eagerly wait for decisions from the authorities on the SEC Stabilization Act and BlackRock’s spot Bitcoin ETF application. Despite these uncertainties, the cryptocurrency market continues to evolve, with various new projects gaining attention and existing ones working to enhance their platforms. It is critical for those involved to remain up to date with both the risks and the possibilities that the rapidly growing world of cryptocurrencies offers.
Source: Cointelegraph
