Tuesday, April 23, 2019

SEC’s Hester Pierce Committed to Pushing on Petitions for Bitcoin ETFs Approval

Hester Pierce, the current Commissioner on Securities and Exchange Commission, has once again spoken out in favor of cryptocurrencies as she predicts more good news soon.

Mother of Cryptocurrencies

Pierce, is an American lawyer who specializes in regulations regarding the financial market and has become quite famous in crypto circles due to her often vocal support of digital currencies; despite the no-love-lost relationship that SEC has managed to establish with the crypto space over the years.

Pierce came to achieve the lofty title of ‘Crypto Mom’ sometime last year after the United States Securities and Exchange (SEC) rejected Gemini’s petition for bitcoin exchange traded funds (ETF). Voicing her obvious dissent, Pierce argued that the commission was becoming too zealous and chasing away potential investors and investments instead of being neutral and practical as possible.

Although, not many of her ilk would have agreed her given SEC’s follow up reasons for rejection, listing out strict stipulations, Pierce grew into the love of many crypto enthusiasts for speaking out. After being dubbed the new nickname by the crypto community, a profile done by the Wall Street Journal revealed she received the title well, dubbing herself a “free-range” mother. The Wall Street Post read:

“Ms. Peirce, who doesn’t have children, has embraced her new nickname and recently told a group in San Francisco that she would be a “free-range mother,” while the SEC was a “helicopter mom” trying to protect the population from investments that look too exotic or risky.”

Crypto Mom Pushes On

Following a  fellow commissioner’s—Robert Jackson—opinion about Bitcoin and possible ETF approval coming ‘eventually,’ Hester Pierce shared similar but stronger sentiments in a speech she delivered at  University of Missouri School of Law.

Pierce in her speech assured that she would continue pushing for regulation and support for digital currencies, as she hopes her colleagues see reasons for the ‘urgent’ approval of Bitcoin ETFs. Dwelling more on the issue of ETFs, crypto mom shared her stance on the relationship SEC was currently fostering. According to her, the regulatory body should focus on its primary duties and avoid trying to be a framework vetting good investment options for potential investors. An excerpt from her speech read:

“There is also great interest in exchange-traded products based on bitcoin [bitcoin ETFs] or other cryptocurrencies. As I have mentioned in the past, I am concerned that our approach with respect to such products borders on merit-based regulation, which means that we are substituting our own judgment for that of potential investors in these products. We rightfully fault investors for jumping blindly at anything labeled crypto, but at times we seem to be equally impulsive in running away from anything labeled crypto. We owe it to investors to be careful, but we also owe it to them not to define their investment universe with our preferences.”

The cryptocurrency sphere, in general, is ‘eager to make progress,’ according to Pierce, and the process might just be accelerated with new encouraging developments such as Bakkt and much expected Fidelity Digital Assets.

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