-The SEC has brought 127 crypto-related enforcement actions since 2013, with 2021 and 2022 seeing a significant surge in the number of such cases.
-The total monetary penalties across settlements with the regulator reached $2.61 billion by the end of last year.
-The SEC has come under heavy criticism for its tendency to take action after events that cause losses to the public.
The U.S. Securities and Exchange Commission (SEC) has taken a firm stance in its enforcement of the crypto space, having brought 127 crypto-related enforcement actions since 2013. 2021 and 2022 saw a significant surge in the number of such cases, with 30 of them in 2022 representing a 50% increase from 2021. The total monetary penalties across settlements with the regulator reached a staggering $2.61 billion by the end of last year.
The SEC’s first crypto-related enforcement action was in July 2013 and has since taken a variety of measures against different projects and exchanges. Most recently, the agency filed charges against crypto platforms Gemini and Genesis, drawing heavy criticism from the industry.
The SEC has been accused of having a tendency to take action after events that cause losses to the public, instead of having clear regulations that would protect investors and traders. This has led to the term “regulation by enforcement”, with many arguing that the SEC has not done enough to create a regulatory framework that provides clarity.
The SEC’s lack of clear regulations has been a source of frustration for many in the crypto space, who are now looking to the Biden administration for much-needed guidance. However, with the SEC’s current focus on enforcement, it is unlikely that we will see any major regulatory changes in the near future. The agency has made it clear that it will continue to take action against those who violate the law, and it is up to the industry to ensure that it is compliant with the existing regulations.