SEC Commissioner shared her stance on the current situation of the crypto market and also opposed the idea of bailouts for cryptocurrency projects.
Hester Maria Peirce is an American lawyer. She has been working as a Commissioner on the Securities and Exchange Commission (SEC) agency since January 2018. Before SEC, she was working as the director of the Financial Markets Working Group at George Mason University’s Mercatus Center. In the crypto industry, she is known as a crypto mom because of her crypto-friendly nature.
Recently Sec Commissioner Maria appeared in an interview with Forbes. During the interview, she said that she would oppose bailouts for crypto firms but still she will always remain friendly toward this digital industry.
As all of us know very well the Terra crypto project crashed badly with its two native tokens Luna & UST. Another crypto project Celsius faced a similar kind of situation, where the firm suspended all withdrawals & stopped the trade of assets. By taking these things under consideration, Maria Peirce suggested that the ongoing bear market will help to build a better foundation for the crypto & blockchain industry.
Peirce stated that it is “not only for market participants to learn but….also for regulators to learn.” So Maria Peirce believes that it will also push the regulatory bodies to bring more new rules and laws to keep the crypto Investors under the safety zone.
SEC commissioner noted that some crypto firms may seek bailouts and these things are outside the control of the US Securities regulatory body but at the same time she said that she will never support the bailouts of crypto firms.
She also stated that crypto “does not have a bailout mechanism” and that this absence is “one of the strengths of that marketplace,” implying the crypto market has some ability to self-regulate. She concluded: “We need to let these things play out.”
SEC commissioner suggested crypto Investors remain aware of those crypto products and companies, which are promising high returns or yields. For the same, she suggested crypto investors “be asking questions about its associated risks”.
Read also: President of Colombia seems fan of Bitcoin