The CEO of Circle, a Goldman Sachs-backed firm, Jeremy Allaire stated the clarity of regulations on Cryptocurrency from the US securities and exchange commission is key to unlocking the crypto market. He noted this on an AMA Reddit session organized in conjunction with Circle co-founder Sean Neville and other representatives from the firm on the 10th of January.
U.S. SEC Regulatory Clarity is Key To Unlocking The Crypto Market
Jeremy Allaire, the CEO of the circle, noted in Reddit AMA on January 10 while responding to questions on the platform that the biggest and the most immediate regulatory hurdle that the crypto industry is facing is the lack of specific guidance from the SEC on how to classify various crypto assets. He further noted that many are currencies and commodities and there is a need to be more specific on what are securities. This is noted that by a tool to unlock a lot of market activities and as well enable the growth of the market for crypto-based securities.
Also, on another crypto regulation focused question Allaire stated that the firm believes that tax treatment should be differentiated for crypto to crypto transactions. On this, he noted that France had moved ahead of others in the pursuit of a statutory amendment on such.
Meanwhile, a recent report indicated that France’s bill to ease the crypto to crypto taxation had faced a setback in the parliament through the procedure is still on.
Circle’s Approach To Handling Privacy-Oriented Crypto
Other questions that surfaced on the AMA include a question on the privacy-focused crypto such as Monero XMR while many Redditors were eager to know how the firm will handle scrutiny from regulators and law enforcement on such type of digital currency.
The chief compliance officer and head regulatory counsel for Circle, Robert Bench, stated that no clear regulation had been drafted in the US at the moment on privacy coins. However, the circle will take such crypto into account purposely for customer risk assessment.
While tackling issues of privacy and AML anti-money laundering compliance is high on the agenda of regulators, Robert stated that the firm would not underestimate the ability of the smart industry and government participants to find solutions in providing transparency to related coins in the future.
Meanwhile, Allaire stated that he thinks that cryptographic tokens are going to represent every form of financial asset in the world, And There will be millions of them in years to come while predicting crypto future recently.