Hester Pierce: The case of BitMEX should alert all participants in the cryptographic industry.

SEC Commissioner Hester Pierce believes that the recent action of the US authorities against the BitMEX cryptoderivatives exchange is a „bell ringer“ for the entire industry.

During the Unchained Podcast, Pierce said that the international cryptographic industry is now informed about the need to comply with anti-money laundering and customer identification requirements.

„I think the industry has received quite a loud and clear message in the context of AML/KYC. I am sure this will continue. They clearly send a message to the cryptologist that when their products or services are used by US residents, they will be prosecuted under US law,“ she said.

Pierce also raised the issue of a bitcoin ETF that would allow institutional investors to access bitcoin in regulated markets and free them from having to hold the asset itself. Previously, the SEC had repeatedly rejected applications for such an instrument on the grounds of concerns about market manipulation.

The Commissioner does not share the agency’s approach to this issue:

„The SEC says: „We do not think that investors are capable Bitcoin Revolution of making reasonable decisions for themselves, so we will completely protect them from this product“. I don’t see the point in this approach“.

Pierce was unable to give a direct answer to the question whether bitcoin-ETF will ever be approved. However, she stressed that any product offered must meet all legal requirements.

„In the US we have traditionally believed that people should have the freedom to make decisions for themselves and be responsible for the consequences. I don’t know why not apply this principle to an area like Bitcoin-ETF,“ she added.