Hester Peirce, a Commissioner at the U.S. Securities and Exchange Commission (SEC), has outlined a vision for the agency’s crypto regulatory strategy under President-elect Donald Trump.
In a recent interview on Fox Business, Peirce identified three priorities to address what she sees as critical obstacles hindering the growth and clarity of the crypto industry.
Pierces’s Roadmap to Clearer Crypto Regulations
In the interview, highlighted by Fox Business reporter Eleanor Terret in a December 10 post on X, Peirce referenced the controversial “Operation Chokepoint 2.0” initiative. Critics have used this term to describe alleged government efforts to limit the crypto sector’s access to banking and financial services. Peirce emphasized the need to stop these restrictive practices, stating:
“Step one is to stop this approach of trying to prevent crypto from getting access to the services that it needs — custody, for example — to move forward.”
The second recommendation focused on clearly defining the SEC’s regulatory scope to address uncertainty about which digital assets fall under its jurisdiction. She emphasized the importance of clarifying which assets are not considered securities and, therefore, do not require compliance with the financial watchdog’s framework.
The official also highlighted the need for regulators and crypto companies to work together to determine how current rules apply to the industry and where changes might be needed. Peirce said this should be done openly so everyone can be involved and added that she believes good progress could be made quickly.
Renewed Focus on “Operation Chokepoint 2.0”
The Commissioner’s remarks follow a renewed spotlight on “Operation Chokepoint 2.0.” In November, Coinbase revealed a document that included FDIC “pause letters,” which it claims are evidence of the crypto industry’s suppression.
The exchange’s legal team has argued that the disclosed letters, obtained through a Freedom of Information Act (FOIA) request, confirm informal measures used by federal agencies to limit crypto firms’ access to financial services.
While no formal bans have been placed on the industry, regulatory agencies such as the Federal Reserve, FDIC, and OCC previously issued guidance cautioning banks about the risks of working with crypto firms.
Meanwhile, U.S. Representative French Hill has also pledged to investigate Operation Chokepoint 2.0, which he described as targeting the sector through politicized debanking.
In his “Make Community Banking Great Again” plan, the congressman argued that financial institutions should not close customer accounts without valid, substantial reasons, labeling such actions a misuse of government power.
Cardano founder Charles Hoskinson has also expressed concerns about the operation’s global impact. He described the campaign as a systematic effort to harass, fine, audit, and deny services to crypto businesses worldwide.
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Wayne Jones
https://cryptopotato.com/sec-commissioner-hester-peirce-calls-for-reforms-in-crypto-under-trumps-sec-leadership/
2024-12-10 22:21:45