Jay Clayton, former head of the US Securities and Exchange Commission, stated that Bitcoin has not been classified as a security for a long time.
Regulations will come
Speaking on CNBC’s Squawk Box site on March 31, however, Clayton warned that his non-securities status does not protect him from enforcement of the new regulations and said he will come soon.
Host Andrew Ross Sorkin pointed out that the SEC has not taken a position on Bitcoin regulation, under Clayton’s supervision. According to Clayton, this was because it was announced that the asset was not a security even before he took office as head of the regulatory agency.
“Before reaching the SEC, it was decided that Bitcoin was not a security. Therefore, the SEC’s jurisdiction over Bitcoin was rather indirect.
Clayton remained in the industry after leaving the SEC in December 2020 and is currently advising One River Asset Management on cryptocurrencies.
Ripple’s comments on the non-securities status of Bitcoin are also interesting in light of the agency’s application to the SEC to submit documents to determine exactly how it came to the conclusion that Bitcoin and Ethereum are not securities.
The company and its supporters have repeatedly argued that XRP is not a security, but the SEC believes XRP is distinctly different because of its centrality.