Gensler said the SEC is also working with the CFTC, where he was formerly chairman, to create various memorandums of understanding to break out “those small handful of tokens that may in fact be commodities tokens” so they’re regulated.
He said the SEC also plans to require beefed-up and accurate disclosures from crypto firms.
“Generally, the investing public is not getting the disclosures you get when you make other asset purchases. We have this basic bargain: You the investing public can make your choices about what risks you take, but there’s supposed to be full and fair disclosure. People aren’t supposed to lie to you," he said.
“If someone is raising money from the public and the public is anticipating a profit based on those entrepreneurs, guess what? That’s under the securities laws,” Gensler said.