Crypto Hype Was Going to Bring in Regulators "No Matter What"
The cryptocurrency world brought the Securities and Exchange Commission’s investigation onto itself, said Paul Vigna, reporter at the Wall Street Journal and author of “The Truth Machine.”
The scale and speed at which the entire market has grown, with billions of dollars flooding into the space for “sketchy” products created a situation that “was going to bring in regulators, no matter what,” he explained.
“I don’t think they’re being particularly draconian. I think they’re being honest in that they’re trying to figure out what is happening in this market, what it is, and how to draw the lines around it.”
Last month, Vigna reported that the SEC had sent out dozens of subpoenas and information requests for companies involved in Initial Coin Offerings, or ICOs.
In December, the commission also issued a statement urging caution and skepticism among investors, saying there is “substantially less investor protection than in our traditional securities markets, with correspondingly greater opportunities for fraud and manipulation.”
The SEC’s caution comes against a backdrop of an increasing number of social media networks, from Facebook and Google to Reddit and Twitter, cracking down on cryptocurrency ads.
In recent months, the amount raised in ICOs has lessened, but Vigna says that’s not the metric to watch.
“The real trend to look for is to see where the money is going rather than the totals. Is the money going to more high-quality projects...that seem to have some chance of building something?
“Last year, was just a lot of indiscriminate spending,” he explained. “I think you’re going to see a lot more thoughtful invest[ing] this year.”
For the full interview, [click here](https://cheddar.com/videos/why-the-ico-market-is-cooling).
Astronauts will have to wait until next year before flying to the moon and another few years before landing on it. NASA on Tuesday announced the latest round of delays in its Artemis moon-landing program.
The Biden administration has enacted a new labor rule that aims to prevent the misclassification of workers as independent contractors. The labor department rule going into effect Tuesday replaces a scrapped Trump-era standard that lowered the bar for classifying employees as contractors
The KC-46 was to be the ideal candidate for a fixed-price development program. Instead, it has cost Boeing billions, and made industry wary of such deals.
Dave Long, CEO and Co-Founder of Orangetheory Fitness joins Cheddar to chat trends in the industry for 2024. He updates us on the company's plans to expand and what the state of the economy has meant for business.
One of the world's largest renewable energy developers will be getting hundreds of wind turbines from General Electric spinoff GE Vernova as part of a record equipment order and long-term service deal.
A moon landing attempt by a private US company appears doomed because of a fuel leak on the newly launched spacecraft. Astrobotic Technology managed to orient the lander toward the sun Monday so its solar panel could capture sunlight and charge its onboard battery.
Treasury Secretary Janet Yellen has announced that 100,000 businesses have signed up for a new database that collects ownership information intended to help unmask shell company owners. Yellen says the database will send the message that “the United States is not a haven for dirty money.”
A new version of the federal student aid application known as the FAFSA is available for the 2024-2025 school year, but only on a limited basis as the U.S. Department of Education works on a redesign meant to make it easier to apply.
A steep budget deficit caused by plummeting tax revenues and escalating school voucher costs will be in focus Monday as Democratic Gov. Katie Hobbs and the Republican-controlled Arizona Legislature return for a new session at the state Capitol.
