Former CFTC Chair Chris Giancarlo discusses how SEC regulations paved the way for the rise of memecoins, a view shared by other industry leaders.
SEC's Impact on the Market
Giancarlo claimed that the SEC's focus on utility and value tokens led investors towards memecoins, inhibiting the broader crypto industry's growth.
Industry Experts' Opinions
Former Binance CEO Changpeng 'CZ' Zhao also noted that SEC's actions facilitated memecoin growth, emphasizing that legal actions against value tokens drove the market to focus on memes.
SEC's Stance on Memecoins
SEC Commissioner Hester Peirce suggested that memecoins likely don't fall under SEC jurisdiction as per current regulations, pointing to possible regulation by CFTC or congressional legislation.
Therefore, SEC's actions significantly impacted the crypto market, leading to increased prominence of memecoins. Future regulation of these assets remains uncertain.
