July 23, 2024<\/p>\n\n\n\n
By Anjali Kochhar<\/p>\n\n\n\n
A coalition of seven U.S. states has united to challenge the U.S. Securities and Exchange Commission\u2019s (SEC) regulation of cryptocurrency. Led by Iowa Attorney General Brenna Bird, the coalition filed an amicus brief on July 10, arguing that the SEC\u2019s actions would stifle innovation, harm the crypto industry, and exceed its legal authority.<\/p>\n\n\n\n
The coalition, comprising Iowa, Arkansas, Indiana, Kansas, Montana, Nebraska, and Oklahoma, views the SEC\u2019s regulation efforts as a significant overreach. \u201cThe SEC\u2019s power grab may stop states from protecting their citizens from scams and it hurts the free market,\u201d the announcement from the Iowa Attorney General\u2019s Office stated. It emphasised that states like Iowa have been at the forefront of protecting scam victims and prosecuting scammers, and the SEC\u2019s actions would undermine these efforts.<\/p>\n\n\n\n
The coalition’s brief contends that the SEC is attempting to usurp state powers and overstep its bounds by policing cryptocurrency without proper authority. \u201cThe Biden SEC is trying to prevent states like Iowa from doing their job to hold scammers accountable and protect families from cryptocurrency scams,\u201d Bird noted. \u201cThis power grab will also hurt the free market and allow the SEC to take regulatory control over the cryptocurrency industry without accountability.\u201d<\/p>\n\n\n\n
The brief argues that the SEC\u2019s actions violate the Administrative Procedure Act and the Major Questions Doctrine by bypassing Congress. The coalition insists that typical cryptocurrencies do not fall under the definition of investment contracts as per the Securities Act of 1934, urging the court to prevent the SEC from exceeding its mandate.<\/p>\n\n\n\n
\u201cThe SEC is attempting to abuse its power and put itself in charge of regulating cryptocurrency, bypassing state consumer-protection laws,\u201d the brief concluded. The coalition is calling for judicial intervention to stop what it sees as an illegal expansion of the SEC\u2019s regulatory reach, which they believe will stifle innovation and allow scammers to evade accountability.<\/p>\n\n\n\n
About the author<\/strong><\/strong><\/p>\n\n\n\n Anjali Kochhar covers cryptocurrency stories in India as well as globally. Having been in the field of media and journalism for over three years now, she has developed a sharp news sense and works hard to present information that goes beyond the obvious. She is an avid reader and loves writing on a wide range of subjects.<\/p>\n","protected":false},"excerpt":{"rendered":" July 23, 2024 By Anjali Kochhar A coalition of seven U.S. states has united to challenge the U.S. Securities and Exchange Commission\u2019s (SEC) regulation of cryptocurrency. Led by Iowa Attorney General Brenna Bird, the coalition filed an amicus brief on July 10, arguing that the SEC\u2019s actions would stifle innovation, harm the crypto industry, and […]<\/p>\n","protected":false},"author":4,"featured_media":4990,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[107],"tags":[],"class_list":["post-4989","post","type-post","status-publish","format-standard","has-post-thumbnail","category-all"],"yoast_head":"\n