SEC head compares stablecoins to casino chips

Chairman of the Securities and Exchange CommissionUS (SEC) Gary Gensler said he wants to introduce cryptocurrency into government policy and compared stablecoins to casino gambling chips.

During an interview with the Washington Post, he said thatMost of the projects in the crypto industry are related to securities that fall under the scope of regulation of his department, and the rest – Commodity Futures Trading Commission (CFTC). Noting that there are gaps in the authority of both agencies, especially noticeable in relation to stablecoins that have the attributesinvestment contracts.

According to Gensler, stablecoins are now doingsame functions as poker chips in a casino. Therefore, he wants to introduce the digital asset market into the sphere of government regulation so that it meets policy goals and does not violate the stability of the current system.

The head of the SEC referred to many years of experiencestudying blockchain with researchers from the Massachusetts Institute of Technology, saying the technology's rapid popularization is making investor and consumer protection a top priority for policymakers. Adding that without this, the abundance of private money will cause more headaches than freedom.

The chairman of the department also hopes for help from the US Senate Banking Committee, which in July called cryptocurrency a tool for fraudsters to destroy the financial system.

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