Amid a tense period for some high-profile crypto firms and financial regulators in the United States, Kraken’s chief legal officer Marco Santori is calling for a dose of pragmatism going forward.
Speech On Bloomberg’s QuickTake Stock broadcast on Thursday, Santori told viewers: “You are living in a fantasy world if you don’t think this industry will face stricter, more Wall Street-like regulation from the governments of USA and abroad. “
Santori’s comments follow threats from the U.S. Securities and Exchange Commission earlier this month to suing the well-known cryptocurrency exchange Coinbase on a crypto performance program that the commission deemed a security. The move prompted the exchange’s CEO, Brian Armstrong, to take a combative and resilient stance on social media, though the exchange has been since. announced that it will remove the program in question, in accordance with the wishes of the SEC.
Commenting directly on the developments, Santori said: “I’ve certainly followed Brian’s tweets, and I’ll say, look, you’re just not being honest with yourself about the crypto community if a little bit of you don’t believe him saying what a lot of people do. He is thinking “. However, he soon took a turn, striving to articulate the more pragmatic agenda he pursues at Kraken:
“I cannot support that kind of approach with regulators. Historically, it has never been successful, and from our experience, we have found that the SEC is open to discussion. “
U.S financial regulators, particularly under SEC Chairman Gary Gensler, have indicated that they intend to introduce a series of policy changes This year, that will affect token offerings, decentralized finance, stablecoins, custody, exchange-traded funds, and lending platforms. Despite his aggressive tone, Gensler has appealed to industry players to commit to the agency going forward. With the regulatory outlook still evolving, the cryptocurrency markets, meanwhile, still very sensitive to the possible implications of each of the public interventions related to cryptography.