Gary Gensler: “Crypto exchanges often play against their clients” – Bits Media

Chairman of the US Securities and Exchange Commission (SEC) considers, that digital asset marketplaces must ensure the security of their customers and register with regulatory authorities.

Gary Gensler (Gary Gensler) stated, that there are cryptocurrency exchanges, who bend the rules and work against their clients. He recalled, that exchanges must be registered with the SEC, since most digital assets fall under the supervision of his department.

Gensler expressed concern that, that a number of trading platforms are unable to protect clients with the necessary security measures:

“Cryptocurrencies have many problems. In fact, platforms often trade against the interests of their clients.".

Talking about stablecoins, Hensler said, that the three leading ones are Tether, USD Coin and Binance USD – make trading on major exchanges easier, potentially avoiding compliance with anti-money laundering regulations (AML) and “know your client” rules (KYC):

"Don't think, what a coincidence. Each of the three major stablecoins was founded by exchanges, to facilitate trading on these platforms and potentially avoid AML and KYC".

Some US legislators largely disagree with the SEC's policies and condemn its actions regarding cryptocurrencies. In March, eight members of the US Congress said, that the SEC's efforts to regulate and study the cryptocurrency industry are considered "excessive and harmful to the industry".