Bill Hinman Of The SEC Notes Cryptocurrency In One Of His Last Speeches
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Bill Hinman was recently spoken about on the securities and exchange commission website earlier this week on the 18th of November. Hinman served as the outgoing director of the division of corporation finance at the SEC and during his tenure, he mentioned cryptocurrency in one of his last speeches.
Bill mentioned that the goal of the SEC is to be open to new technologies such as blockchain and crypto without the need to overhaul a regulatory framework that is already in place.
The report mentions that Bill said:
“Being able to apply the federal securities laws to new and emerging technologies like digital assets without having to create an entirely new regulatory framework — as some other jurisdictions have had to do — is a testament to the flexible nature of our securities regime,” said Hinman. “It has allowed us to keep pace with innovation, facilitate capital formation and protect investors in a deliberate, thoughtful and effective manner.”
Since joining the SEC 3 years ago, he mentioned whether securities were using the Howey test. Since the 40s, the commissioners use this test in order to determine whether a specific asset can qualify as “an investment contract“. And that they are considered securities.
In a report from 2017, the SEC highlighted that digital assets could indeed qualify for this and is considered by many to be one of the more significant regulation moments for the history of crypto in the United States.