Former SEC chairman Jay Clayton, warnsthat the US authorities will sooner or later introduce regulations regarding the cryptocurrency market. He spoke about it on Squawk Box on CNBC.
Former SEC head: BTC is difficult to regulate
It is worth recalling that the SEC has not yet taken a clear position on Bitcoin regulation. Clayton said in an interview that this was because BTC was not recognized as a security.
– It was decided that Bitcoin would not be a security before I joined the SEC. Therefore, the SEC’s jurisdiction over Bitcoin was rather indirect – He said.
Clayton remained in the cryptocurrency industry after leaving the SEC in December 2020. He is currently advising One River Asset Management on digital currencies.
“Where digital assets land at the end of the day – will be driven in part by regulation both domestic and international, and I expect that regulation will come in this area both directly and indirectly,” says Former SEC Chairman Jay Clayton on #bitcoin. pic.twitter.com/voWcgCFqOH
– Squawk Box (@SquawkCNBC) April 1, 2021
The regulations will have a great impact on the BTC market
– This is where digital assets will land at the end of the day […], will be driven in part by regulation – both national and international – and I expect, and I say this now as a citizen, that these regulations will emerge in this area both directly and indirectly, or through the way they are [kryptowaluty] held in banks, on security accounts, through taxes and the like. We will see how this regulatory environment will evolve – He said.
Clayton’s comments came after hedge fund billionaire Ray Dalio warned that the United States could ban Bitcoin entirely, as it did with gold in the 1930s when the precious metal was being seized from a national.
(…) decision-makers who are short of money will raise taxes and [jeśli] will not be satisfied with the capital flows from debt assets to other assets (…), they may introduce prohibitions on capital flows to other assets (e.g. gold, Bitcoin, etc.) (…)
At the same time, he still believes that cash is “tacky”:
I believe that cash is and will remain cheesy (i.e. gives you profits that are significantly negative to inflation), so it pays to a) borrow cash rather than keep it as an asset, and b) buy debt-free investment assets with a higher rate of return.