Gary Gensler said “We’ll regulate these first and then move on to cryptocurrencies”
US Securities and Exchange Commission Chairman Gary Gensler discussed cryptocurrency once again in his most recent public remarks.
US Securities and Exchange Commission Chairman Gary Gensler has said that auditing AI should take priority before moving on to cryptocurrency.
According to Gensler, AI is “the most transformative technology of this generation,” which means it will provide both possibilities and difficulties for markets and regulators. Gensler predicted that cryptocurrency will be the next big thing after AI.
To begin, there is the examination of AI systems. Cryptocurrencies will have to wait for now. He said The SEC must keep up with the rapid pace of innovation in order to protect the financial system from potential threats posed by AI in the areas of coordination, manipulation, bias, and accountability.
He said that many DeFi initiatives present themselves as decentralized while in reality they are run by a small group of individuals who benefit from selling people’s ideas.
In response to Gensler’s claims, Mark Perlow, a partner in the San Francisco office of the legal firm Dechert, said:
“The SEC may have learned from cryptocurrencies that if it lags behind the industry in regulation, the industry will steer the discussion,” according to one theory.