- Crypto maximalists attack the SEC for partiality in regulating the crypto industry.
- Analyst Ben Armstrong sarcastically says, “Crypto is bad, but the Ponzi scheme banking system is good.”
- Other Twitter users question the SEC why gambling is acceptable but not crypto.
The crypto community is having a field day dragging the US Securities and Exchange Commission (SEC) for being biased in regulating the crypto industry and the traditional financial system.
Crypto enthusiasts voiced their reservations to the regulator following a warning message where the SEC claimed that crypto assets constitute a risky investment venture. “Investments in crypto asset securities can be exceptionally volatile and speculative,” the regulator wrote in a post on Thursday.
The SEC further argued that the platforms where investors buy, sell, borrow, or lend crypto might lack essential protections. Given the current crisis in the US banking system brought about by the collapse of two banks that controlled over $300 billion in customer assets, a crypto influencer asked the SEC, “Where is the warning about banks not actually having [our] money?”
The author of Catching Up To Crypto, Ben Armstrong, sarcastically said, “crypto is bad [but] the Ponzi scheme banking system is good.”
Also, a Twitter user questioned the SEC why gambling in any state-run lottery, casino, or games offered in convenience stores is legal, yet making a well-informed crypto-buying decision was a problem.
Furthermore, crypto enthusiasts argued against the SEC using the fact that the US government recently printed $300 billion out of thin air to bail out banks — a move experts believe it may push the economy into hyperinflation.
Changpeng Zhao, the CEO of Binance, had made a mockery of the US anti-crypto financial authorities. He said, “Bitcoin is volatile, but it never needed a bailout.”