SEC’s Gensler taken to task over crypto custody guidance again in House hearing

Gensler told Nickel that the SEC is “still under advisement” on Grayscale case after the business won an appeal versus the SECs choice to decline its Bitcoin ETF application. Committee member Warren Davidson revealed his concern that the SEC would not approve spot Bitcoin applications in the order they were gotten, because of the Grayscale decision. Gensler responded that the applications were still under “active consideration.” Emmer criticized Gensler alleging he was not objective within the monetary industry. Torres engaged Gensler over the analysis of the Howey test. Magazine: Crypto regulation: Does SEC Chair Gary Gensler have the last word?

He had well over four hours of that enjoyment that day, much of which was committed to criticism of his companys policies and actions.Among the long list of discontents, one of the most narrowly focused was Representative Mike Floods questioning regarding the SECs Staff Accounting Bulletin (SAB) 121, provided in March 2022. A rulemaking on custody, including digital property custody, was proposed in February 2023 and has not yet been finalized, he added, concluding:” At the time when the publication was issued, there was no action by FASB, nor rulemaking by the SEC on this topic. The SECs validation for releasing the bulletin is based on accounting guidelines that did not exist when the bulletin was released.” Either the SEC understood there was no “strong” justification for providing the assistance in the bulletin and did so any method, or it did so in error, Flood said. Gensler told Nickel that the SEC is “still under advisement” on Grayscale case after the business won an appeal against the SECs choice to reject its Bitcoin ETF application.

He had well over four hours of that enjoyment that day, much of which was dedicated to criticism of his companys policies and actions.Among the long list of discontents, one of the most directly focused was Representative Mike Floods questioning relating to the SECs Staff Accounting Bulletin (SAB) 121, provided in March 2022. The SECs reason for providing the bulletin is based on accounting standards that did not exist when the publication was issued.” Either the SEC knew there was no “strong” justification for releasing the guidance in the publication and did so any way, or it did so in mistake, Flood stated.