SEC in 2020 will strengthen supervision of the cryptocurrency market

The Office of Compliance Examinations (OCIE) of the US Securities and Exchange Commission (SEC)cryptocurrencies on the 2020 oversight priority list.

In a new document released by OCIE,It highlights that the emerging market for digital assets may pose a risk to retail investors who do not always understand the difference between such assets and traditional commodities and securities.

“Due to these risks, OCIE will continueidentify and verify market participants registered in the SEC and working in this field. Checks will be as follows: investment suitability, portfolio management methods and trading strategies, security of client funds and assets, pricing, effectiveness of programs and means of monitoring compliance with regulatory requirements, supervision of employees outside the company, ”the document says.

OCIE first paid attention to cryptocurrencies in2018. Then, in the relevant document, officials noted the need for inspections of cryptocurrency companies. In 2019, the regulator more clearly expressed the priority of supervision in the field of cryptocurrencies. In 2020, OCIE reiterated its 2019 goals, adding that employee activity must be monitored even outside of work hours.

Let us recall that yesterday the court of the Southern District of New York rejected the SEC’s request to provide information on banking transactions and the use of funds raised by the TON project as part of the ICO.

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