It is good news for the crypto community as the SEC chairman Jay Claton will leave its position by the end of 2020. It is good for crypto space as traders and investors will see Bitcoin ETF soon.
Claton was Strict over Bitcoin ETF
According to an official announcement, the sitting chairman of the Securities and Exchange Commission (SEC) will leave its charge by the end of 2020. During his leadership of the US regulatory firm, the crypto analysts believe that Claton failed in rolling out a clear framework for cryptocurrency regulation. First, he did all things to stop trading firms from launching Bitcoin ETF. Second, he did not declare tokens the security tokens such as XRP.
He became the chairman of the Securities and Exchange Commission in 2017 when the hype around ICOs was prevailing in the cryptocurrency markets. However, he acknowledged ICO as an effective way of fundraising for entrepreneurs but he also reminded of the warning to the members involved in initial coin offerings. According to him, the “securities laws must be followed” when an entity or an individual offered security.
After the ICO bubble, SEC launched various investigations against ICOs and took very serious steps in curbing those ICO projects which failed to follow the regulatory policies offered by the SEC. To make awareness about regulatory sandbox around ICOs, he became successful in the launching of Strategic Hub for Innovation and Financial Technology (FinHub).
He was the first one to make regulations for cryptocurrency but crypto members claimed he did not understand the potential of crypto space and made efforts to stop it from flourishing. Under the supervision of Jay Claton, all requests and proposals to launch Bitcoin ETF became failed and no entity became successful in rolling out a Bitcoin ETF for traders and investors.
The majority of the people who belong to the crypto space are happy over Clayton’s stepping down. “This is a huge deal for crypto regulation. Clayton’s successor will ultimately approve or deny a Bitcoin ETF. Let’s hope the new chair understands innovation,” a crypto member said over Twitter.