Crypto Legislation Passes House Financial Services Committee

• This week, a suite of crypto legislation passed the House Financial Services Committee.
• Sam Bankman-Fried surrendered Caroline Ellison’s personal writings to court.
• Democratic congressman Ritchie Torres called Gensler’s SEC ‘arbitrary and capricious’.

Jason Lowrey’s Book Removed from Circulation

Jason Lowrey’s book on the strategic significance of Bitcoin was removed from circulation and MIT library for unknown reasons.

SEC Commissioner Hester Peirce Questions Public Accounting Warning

SEC commissioner Hester Peirce questioned why the regulator wants to discourage good-faith efforts to provide more transparency for the cryptocurrency industry in response to a statement from SEC chief accountant Paul Munter, who warned that accounting firms acting as performing „audit“ duties for crypto firms risk censure or suspension if their findings are misrepresented.

Peirce Points out Need for Clear Proof of Reserve

While Peirce conceded that crypto firms and their accountants should be clear on proof of reserve, she argued that the watchdog should not discourage transparency by setting strict regulations. She noted that the “regulatory regime should not be so burdensome as to stifle innovation“.

Conclusion

This week, a suite of crypto legislation passed House Financial Services Committee, while Jason Lowrey’s book on Bitcoin was removed from circulation and MIT library. In response to SEC Chief Accountant Paul Munter’s warning about legal liabilities with non-audit works for crypto firms, Commissioner Hester Peirce argued against regulators discouraging transparency by setting strict regulations and suggested that there should be clear proof of reserve instead.