US SEC Chairman: Blockchain technology development helps promote capital formation and provides investment opportunities for investors

The US Securities and Exchange Commission (SEC) appears to be very active in the crypto industry, having previously tried several times to regulate various aspects of the industry. Recently, SEC Chairman Jay Clayton testified before a Senate committee to resolve multiple issues, including blockchain technology and cryptocurrencies.

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Many countries and mainstream companies are optimistic about the prospects of blockchain technology. At the same time, they are positive about how to resist cryptocurrencies. Speaking of blockchain technology or distributed ledger technology (DLT), Clayton said,

"I am optimistic that the development of distributed ledger technology will help promote capital formation and provide promising investment opportunities for institutional and street investors."

In addition, Clayton said he believes the SEC has adopted a "planned and proactive regulatory approach" to address issues such as innovation and capital formation, keeping in mind investors and markets.

Social media giant Facebook's cryptocurrency project Libra has faced many regulatory hurdles since it was first announced, and has been investigating. The SEC, along with other regulators around the world, has expressed doubts about the project. In his testimony, Clayton emphasized the issuance of stablecoins and the Libra project. He said,

"The problem has arisen and we should not go around it."

In response to the fact that some ICO projects have not been able to reach a settlement with the SEC after the implementation of the action, Clayton suggested that the Commission try to formulate an agreement considering the affected investors. However, since most of these settlements are made through "pay for the money", they fail when these companies do poorly, he added.

Clayton further stated that

"A lot has happened there. The situation is complicated."

Clayton also acknowledged that the United States Securities and Exchange Commission (SEC) should work with a Senate committee to resolve issues related to non-sovereign-backed cryptocurrencies.

Exchange-traded funds (ETFs), especially bitcoin ETFs, have received much attention after being repeatedly rejected by the US Securities and Exchange Commission. Based on testimonies prepared by the US Securities and Exchange Commission (SEC), Clayton mentioned that the commission has issued a new rule that amends existing rules to modernize ETF regulations. Clayton said,

"I think this action will promote competition and innovation in the ETF market and enable ETFs that meet certain criteria to enter the market faster without the need to spend time or money to apply for personal tax exemptions, which will bring investors Here comes more options. "