SEC Commissioner Blames Agency Crackdown on Kraken: “Paternalistic, Lazy”

Commissioner Hester Peirce stated that the SEC had not issued proper guidance regarding staking products. Photo by Greg Kahn. Shutterstock image by DCStockPhotography
Key TakeawaysThe SEC has ordered Kraken to close down its staking service in the United States. They claim that the platform failed to properly register it.
Hester Peirce, SEC Commissioner, disagrees with the decision.
She claimed that Kraken would not have been able register its products with SEC, even if it wanted to.
Share this articleSEC Chair Gary Gensler’s latest move, forcing Kraken to stop its staking services, is being criticized by the Securities and Exchange Commission. The U.S. regulator had earlier announced that it had reached an agreement with Kraken, in which the company agreed not to continue its staking services in the U.S. and would pay a $30m fine for failing to register the program properly. “In the current environment, crypto-related offerings don’t make it through the SEC’s registration pipeline,” she stated. This was in reference to the difficulties that crypto companies have had in obtaining clear regulatory frameworks from SEC. She wrote that she has known about crypto staking programs for a long time. “Staking services don’t work in a uniform way, so one-off enforcement actions or cookie-cutter analyses doesn’t cut it,” she wrote, before calling the SEC’s approach “paternalistic” and lazy. Decentral Media, Inc. does not provide investment advice. We do not provide personalized investment advice or any other financial advice. This website’s information is subject to change at any time. The information on this website could become obsolete or incorrect. You may not be able to update any information that is outdated, incomplete or inaccurate. We also reserve the right to change any information that is incorrect, incomplete or outdated. If you need investment advice about an ICO, IEO or other investment, we strongly recommend that you consult a licensed financial advisor or other qualified financial professional. We do not accept compensation in any form for analyzing or reporting on any ICO, IEO, cryptocurrency, currency, tokenized sales, securities, or commodities.See full terms and conditions.Recommended News