SEC crackdown on cryptocurrencies can be about to get serious: ex chairman

The Securities as well as also Exchange Commission can be cracking down on suspicious cryptocurrencies as well as also in which will only continue, according to a former chairman of the regulatory body.

“We’re in line for some serious regulatory responses to all of This kind of as well as also in which will be forthcoming after the first of the year,” Harvey Pitt said Thursday on CNBC’s “Fast Money.”

The SEC has already issued warnings — with the Financial Industry Regulatory Authority adding cautions as well — as well as also Pitt says there can be “activity on the horizon” for further regulation.

“Everyone else can be investing from the item, as well as also the cost seems to be going up,” Pitt said. “in which’s a real problem because there’s a lack of education as well as also knowledge on the part of many of the people who are actually doing the investing.”

The SEC on Tuesday temporarily suspended trading in shares of The Crypto Co., whose stock has surged more than 2,700 percent This kind of month. The commission said in a Discharge in which questions have “arisen concerning potentially manipulative transactions from the company’s stock in November 2017.”

Pitt identified many cryptocurrency offerings as “offerings of securities,” which therefore fit under the SEC’s legal authority. For him, in which means insider trading can be a very real possibility.

“There absolutely can be insider trading,” Pitt added. “When people have advanced knowledge of the offerings of these interests as well as also take advantage of the offering long before the item occurs.”

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