One SEC commissioner is establishing herself as the voice of innovation for the crypto market

share save 171 16 - One SEC commissioner is establishing herself as the voice of innovation for the crypto market

MarketWatch | Aaron Hankin | Aug 27, 2018

SEC and bitcoin ETF - One SEC commissioner is establishing herself as the voice of innovation for the crypto marketSEC’s Hester Peirce, who dissented on Winklevoss denial, shares her thoughts on regulating the evolving cryptocurrency industry

In her seven months in office, Securities and Exchange Commissioner Hester Peirce has established herself as the voice of innovation for the cryptocurrency market.

In July, Peirce surprisingly dissented from the SEC’s decision to deny Cameron and Tyler Winklevoss an application for a bitcoin-backed exchange-traded fund.

Citing a risk of being left behind, Peirce said the decision sends a “strong signal that innovation is unwelcome in our markets.”

A lawyer by trade, Peirce earned her J.D. from Yale University, graduating in 1997. Prior to assuming her position at the SEC, Peirce was a research fellow and the director of the Financial Markets Working Group at George Mason University.

In an edited interview with MarketWatch, Peirce spoke on her time to date at the SEC. She shed some light on where the cryptocurrency industry might be headed and the tough job regulators have in presiding over the ever-changing industry.

See:  Crypto prices sharply down after SEC postpones Bitcoin ETF decision

On her dissent in the Winklevoss ETF decision

The issue I had in the dissent was that I think we applied our standard of review incorrectly to look below the market that’s actually trading the product... as opposed to the plan that the market that actually wants to lift the product has, or trading the product.

The concern that I have is that we need to make sure that we’re not taking the position that a market—whatever the underlying asset is—that the market has to be perfectly mature and perfectly regulated and perfectly within our control before we’re willing to sign off on an exchange-traded product that’s based on that asset.

On balancing innovation with regulation

The concern that I came to the Commission with ...is that generally, we’re not great with respect to innovation as an agency.

It’s not surprising to me because regulators tend to get blamed when something goes wrong, say if we approve something and it goes wrong, people come back and say well, you shouldn’t have approved it. If things go great, no one comes to us and pats us on the back and says, oh great job, glad you approved that.

‘And you can never measure the loss to investors and to the economy of us not approving things, so it’s really a lot easier for regulators to say no, no, no. And so when I came to the commission that was one of the concerns that I had’

Hester Peirce, SEC Commissioner

See:  Prominent Group of Fintech Leaders Send Letter to SEC Chair Jay Clayton Demanding an Increase in Regulation Crowdfunding to $20 Million

When asked if the SEC behind the curve

I mean I do think we’re behind the curve, but I think almost everyone is behind the curve... things change so fast. So I think that we have work to do. But I think we have some really good people here as well.

But yeah, I mean I’m certainly worried. I’m certainly worried every time I hear someone say the U.S. is too slow and I’m going to go overseas to do my innovation, that’s always a bad thing to hear... I think investors are losing out, and I think the economy as a whole is losing out when we lose innovative efforts to other places solely because of our regulatory environment, that’s never a thing I want to hear.

Continue to the full article --> here

 


NCFA Jan 2018 resize - One SEC commissioner is establishing herself as the voice of innovation for the crypto marketThe National Crowdfunding & Fintech Association of Canada (NCFA Canada) is a cross-Canada non-profit actively engaged with fintech, alternative finance, blockchain, cryptocurrency, crowdfunding and online investing stakeholders globally. NCFA Canada provides education, research, industry stewardship, services, and networking opportunities to thousands of members and subscribers and works closely with industry, government, academia, community and eco-system partners and affiliates to create a strong and vibrant crowdfunding and fintech industry. Join Canada's Fintech & Funding Community today FREE! Or become a contributing member and get perks. For more information, please visit: ncfacanada.org

Latest news - One SEC commissioner is establishing herself as the voice of innovation for the crypto marketFF Logo 400 v3 - One SEC commissioner is establishing herself as the voice of innovation for the crypto marketcommunity social impact - One SEC commissioner is establishing herself as the voice of innovation for the crypto market

ADB Institute | March 25, 2020 Policy makers and researchers recently met at ADBI for a workshop examining green infrastructure investment, policy challenges, and economic implications in Asia. Marco Schletz from the United Nations Environment Program Technical University of Denmark Partnership was among the experts featured at the event. Afterwards, Schletz sat down with Asia’s Developing Future to discuss how blockchain and tokenized securities could revolutionize green finance and inclusive development in the region. The views in this podcast do not necessarily reflect the views and policies of the Asian Development Bank Institute (ADBI). Read the transcript bit.ly/2QIe9TH Policy makers and researchers recently met at ADBI for a workshop examining green infrastructure investment, policy challenges, and economic implications in Asia. Marco Schletz from the United Nations Environment Program Technical University of Denmark Partnership was among the experts featured at the event. Afterwards, Schletz sat down with Asia’s Developing Future to discuss how blockchain and tokenized securities could revolutionize green finance and inclusive development in the region. See:  Blockchain and Tokenized Securities: The Potential for Green Finance Marco Schletz from the United Nations Environment Program Technical University of Denmark Partnership Blockchain is an innovative data structure that is used to verify ...
Read More
Marco Schletz - One SEC commissioner is establishing herself as the voice of innovation for the crypto market
Harvard Business Review | Marco Iansiti and Greg Richards | March 26, 2020 As workplaces mandate that employees work from home, universities shift fully to online teaching, restaurants transition to online ordering and delivery, and automakers shut down their plants, we’re seeing the most rapid organizational transformation in the history of the modern firm. Yes, companies have dealt with financial crises like the 2008 Great Recession or the dot-com bust of the early 2000s. And many have endured wars and terrorist attacks, election surprises, and previous health crises. But never before have established and evolved economies faced this kind of shock. And nothing quite compares to the physical-digital divide Covid-19 is revealing and how it affects the nature of work. In some ways, you can trace what’s happening today to a huge digital transformation that’s already well underway. Firms have been moving to an increasingly digital core based on software, data, and digital networks for years, requiring a fundamentally new operating architecture. From Ant Financial to Facebook, the new digital firm gains its competitive advantage in three ways: by producing more at a lower unit cost (scale), by achieving a greater production variety (scope), and by pushing for improvement and innovation (learning) ...
Read More
covid and digital transformation - One SEC commissioner is establishing herself as the voice of innovation for the crypto market
NCFA Canada | March 25, 2020 JOIN US ON A STORYTELLING JOURNEY EVERY FRIDAY. Mar 25:  Why identity matters in an evolving online environment HOST: Tristram Waye, Fintech Friday's podcast episode GUEST: DAVID LUCATCH, President & Director – KABN Systems North America Inc. (Linkedin) KABN Links:  kabnsystemsna.com | liquidavatar.com About this episode: David Lucatch of KABN Networks North America joins Tristram Waye for this episode of Fintech Friday. David discusses why identity is a foundational element of the evolving online and data environment, and why KABN Networks North America has developed a business around it. During this episode he will also discuss: How KABN ID works and why it’s a foundational technology The suite of products KABN Networks North America has developed around identity and why Their vision of the future including the release of Liquid Avatar BIO: David Lucatch has spent more almost 35 years in the international marketing arena and over 25 years of that developing technologies and taking them to market.  David has held senior management posts and directorships at both private and public technology and media firms. David is an active supporter of numerous non-profit organizations and has been recognized and awarded internationally for his service and community ...
Read More
FF EP38 KABN Systems North America - One SEC commissioner is establishing herself as the voice of innovation for the crypto market
Guest Post | Pankaj Raghav | March 25, 2020 The entire world is dealing with the havoc of the coronavirus pandemic. Naturally, it will have a wreaking impact on the economy. The big events are being cancelled, flights are non-operational, and all sports leagues have been postponed. Almost every country across the globe is putting travel restrictions with an aim to keep the virus out of their home border. To combat the disease, the hospitals are bracing day in and day out, and public health officials are doing the best they can. Sadly, it isn’t easy being calm or optimistic in this dark time of crisis. However, as for the business owners, trying to be calm under crisis is a pivotal quality of their job description. So, if, as a business, you employ some proactive steps right away, you can get your business to be more safe and secure to recover faster post the crisis. China, the original epicenter of the Coronavirus, has started coming up with measures that are depicting clear signs of economic recovery. So, we have come up with 4 important steps and strategies that you need to implement to help your business recover post this pandemic ...
Read More
Coronavirus impact to your business - One SEC commissioner is establishing herself as the voice of innovation for the crypto market
The Globe and Mail OpEd | Cato Pastoll | March 24, 2020 No one planned for this. COVID-19 has brought the global economy to a standstill. With many provinces closing non-essential businesses, and consumption and consumer confidence decreasing, many Canadian small businesses are looking at extinction. Businesses surveyed by Lending Loop, on average, have less than 30 days of cash on hand to weather this storm. This is not a new finding. In 2016, a JP Morgan study showed that the average restaurant, retailer and manufacturer had 16, 19 and 30 days of cash on hand, respectively. As revenue declines continue in the coming weeks and months, their futures look incredibly bleak. By all accounts, the federal government knows small and medium-sized businesses constitute the backbone of our economy because they support at least 70 per cent of all jobs in Canada. Yet, the majority of our governments’ efforts are dedicated to supporting individuals and not businesses. While the enhanced Employment Insurance programs are helpful measures, the disappearance of our businesses would mean there would be no jobs to return to once the pandemic is over. See:  Lending Loop Surpasses $50 million Milestone and helps thousands of Canadian Businesses and ...
Read More
small business empty covid19 - One SEC commissioner is establishing herself as the voice of innovation for the crypto market
BCG Henderson Institute | Martin Reeves, Lars Faeste, Kevin Whitaker, and Mark Abraham | March 15, 2020 A rebound of demand is inevitable, and using high-frequency data proxies for the movement of goods and people, production and confidence, we can see that it is already beginning to happen in China. (See Exhibit 2.) Given the complexity of rebooting companies and supply chains at different speeds in different places, the time to begin preparing a rebound strategy is now. Over the past 100 years, epidemics have only temporarily deflected the economic cycle with short, sharp shocks. Of course, this time could be different. A bear market (technically a 20% decline) does not guarantee a recession but indicates a high probability of one. Prudent companies will prepare for this possibility. Our analysis shows that 14% of companies across all sectors actually grow top and bottom lines during recessions and downturns. Those who flourish share the common traits of preparation, preemption, growth orientation and long term transformation. They take a long term view and place growth bets when competitors are retrenching. And even after the epidemic recedes, and even in the case of recession, there will be opportunities and needs to reimagine business ...
Read More
light and forest trees - One SEC commissioner is establishing herself as the voice of innovation for the crypto market
Techopedia | Claudio Buttice | March 13, 2020 Before AI and the rise of FinTech, very few industry giants had the bandwidth to deal with the inherently quantitative nature of our now tech-savvy world. These AI use cases detail some of the ways AI has been a game-changer for FinTech. Banks alone are expected to spend $5.6 billion USD on AI and Machine Learning (ML) solutions in 2019 — just a fraction of what they’re expecting to earn since the profits generated may reach up to $250 billion USD in value. From automating the most menial and repetitive tasks to free up the time to focus on higher level objectives, to assisting with customer service management and reducing the risk of frauds, AI is employed from back-office tasks to the frontend with nimbleness and agility. 1. Fraud Detection and Compliance According to the Alan Turing Institute, with $70 billion USD spent by banks on compliance each year just in the U.S., the amount of money spent on fraud is staggering. And when the number of reported cases of payments-related fraud has increased by 66% between 2015 and 2016 in the United Kingdom, it’s clear how this problem is much more ...
Read More
AI winter is over - One SEC commissioner is establishing herself as the voice of innovation for the crypto market
Micky | Ali Qamar | March 21, 2020 The State of Hawaii has recently introduced a pilot program dubbed as the ‘Digital Currency Innovation Lab’ aimed at being a ‘testbed for innovation in the digital currency space.’ On March 17, Hawaii’s governor office revealed that the state’s very first state-initiated blockchain and cryptocurrency incubator is in the works. This initiative is in collaboration with three government agencies: Department of Commerce and Consumer Affairs (DCCA) Hawaii Technology Development Corporation (HTDC) Division of Financial Institution (DFI) See:  10 ways regulators need to change in 2020 The main aim of the project is to assist digital currency issuers to do business in Hawaii without acquiring any sort of money transmitter license in the course of the effective period of the pilot program. The sandbox will remain in operation for the next two years. Furthermore, the program outlines three objectives: Create economic opportunities for Hawaii and foster early adoption of cryptocurrency Offer consumer protection and provide guidance to crypto entrepreneurs Provide data to shape crypto legislation in the state Sandbox participants protected against unlicensed regulation Iris Ikeda, Commissioner of Financial Institutions, highlighted that the DFI has issued a “no-action message” against unlicensed money transmission ...
Read More
Hawaii - One SEC commissioner is establishing herself as the voice of innovation for the crypto market
Betakit | Meagan Simpson | March 20, 2020 A survey conducted by Toronto-based FinTech startup Lending Loop has found that Canadian small businesses have seen an average revenue decline of more than 63 percent amid the COVID-19 pandemic. Lending Loop has been collecting data over the past few days from over 100 companies on the impact the COVID-19 outbreak is having on small businesses across Canada. In a Tweet on Thursday, Lending Loop CEO Cato Pastoll noted that the initial findings highlight the severity of the current situation. See:  Covid-19: Resources and Guides for Businesses and Individuals The small businesses surveyed have an average of 10 employees and according to the survey results have seen immediate impacts amid the current global situation. Those surveyed reported that their business has seen an average revenue loss of $1,141,310, leading to an average revenue decline of 63.3 percent. More than 65 percent of small businesses surveyed reported a revenue decline of more than 50 percent. With 92 percent concerned about their monthly obligations. The industries that have seen the largest hit are education services and restaurant and food services. Following closely behind are finance and insurance, as well as retail and wholesale trade ...
Read More
small business survey lending loop covid19 - One SEC commissioner is establishing herself as the voice of innovation for the crypto market
American Banker | Penny Crosman | March 18, 2020 The coronavirus pandemic could be devastating for many companies, but it's also shining a spotlight on the power of fintechs. They seem to be responding to the sudden challenge, though uncertainties lie ahead. The virus-driven moratorium on travel and the trend of companies encouraging people to work from home are changing the way people behave and communicate, and some of these changes could become permanent. “The behaviors that people can execute from their living room or from their den are going to grow, and behaviors that require face-to-face interaction or getting out into the community are going to diminish,” said Nigel Morris, managing partner of QED Investors and a co-founder of Capital One. “What does that mean? You should have greater mobile apps and digital adoption in general. If I had been holding off on signing up for PayPal, for instance, I might just do that.” Fintechs that help people do things remotely, like communicate about work, apply for a mortgage or make electronic payments, appear to be thriving, at least so far. Digital mortgages The digital mortgage software provider Blend, which has 230 bank clients, has also seen spikes in ...
Read More
digital mortages - One SEC commissioner is establishing herself as the voice of innovation for the crypto market

 

share save 171 16 - One SEC commissioner is establishing herself as the voice of innovation for the crypto market