SEC chairman Gary Gensler said in a recent interview with Yahoo Finance that the agency has a disclosure regime, according to which crypto lending and trading companies need to communicate with the SEC. He also mentioned that regulators can tailor disclosure rules.
Related: Gary Gensler Finds Crypto Exchanges Trade Against Their Clients
Gensler noted that maybe not all of the reports for equity issuers are the same as a cryptocurrency. The SEC Chair says it is for the public benefit to know full details of a project and that someone isn't lying to them. Gensler mentioned American regulators allow investors to take risks, and they can decide what risks they are willing to take. In any rate, a person that raises money and sells financial assets shouldn’t defraud investors and should give them the information so that they can make decisions.
According to Gensler, now the public isn’t protected given the non-compliance in the sector. The SEC is currently looking into three main fields: exchanges, lending, and brokers. They are talking to industry participants about coming into compliance or making some changes. To regulate the industry, the SEC works with bank regulators and CFTC colleagues.