Gary Gensler, Chairman of the US Securities and Exchange Commission (SEC), recently expressed his opinion on Bitcoin and altcoins.

in an interview In an interview Gary gave CNBC, he said:

Bitcoin and hundreds of other cryptocurrencies are speculative assets.

In addition, the Chairman of the Securities and Exchange Commission (SEC) highlighted the importance of having a clear regulatory framework for cryptocurrencies, stating in this regard:

The trading platforms used by cryptocurrency traders are not currently subject to a regulatory regime that protects them like they trade on the New York Stock Exchange.

The cryptocurrency market has witnessed steady growth since the beginning of 2021.

Read:The total market value of Bitcoin matches that of Netflix and AT&T

Despite the declines in May and June, the total market capitalization of cryptocurrencies has increased by more than 100% in the past six months.

Bitcoin, the world’s most valuable digital currency, is currently trading near $38,000 with a market capitalization of around $715 billion.

Given the recent surge in popularity and adoption of cryptocurrencies, discussions regarding a clear regulatory framework for cryptocurrencies have increased rapidly.

In December 2020, the US Treasury proposed stringent Know-The-Customer (KYC) requirements for cryptocurrency to combat the potential involvement of Bitcoin and other digital currencies in illegal activities.

Crypto Market Regulations:

During a recent discussion with CNBC, Gensler stated that the main purpose of the Securities and Exchange Commission is to protect investors, and added:

I am pro-innovation, but we also need rules of the road.

Satoshi Nakamoto’s invention of bitcoin, if it is to realize its potential, must fit within public policy frameworks.

Due to the lack of a clear regulatory framework for Bitcoin and other cryptocurrencies, institutional interest has begun to subside in the past few months.

According to the latest weekly crypto market money outflow report published by CoinShares, BTC investment products saw $20 million worth of outflows last week.

Read:In a controversial statement from the technical director of Ripple: The “Uniswap” platform is not decentralized!

In a recent interview with CNBC, Nikolaus Panegirzoglu, global market strategist at JPMorgan, highlighted the sharp drop In institutional interest in Bitcoin and other cryptocurrencies.

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