It would be unwise to ban bitcoin. In an interview with MarketWatch's investing in crypto last week, Hester Peirce, a member of the US Securities and Exchange Commission, shared her views on the regulation of bitcoin and cryptocurrency in various countries. She was also asked about the possibility of securities regulators approving bitcoin exchange traded funds this year. Peirce, sometimes referred to as "encryption mom," has been pushing the SEC to approve bitcoin ETFs for several years. In an interview, she was asked if it is possible to ban cryptocurrency, because some people still think that the government can ban bitcoin at any time, including ray Dalio, founder of Bridgewater Association, Michael burry and Ron Paul of the big short. Peirce replied, "I think we passed that stage very early because you have to cut off the net. As I have said in the past, I don't understand how you can ban it... I think it's unwise to try to do so. " In addition, the Commissioner stressed that there is "a bigger problem" in banning cryptocurrencies, that is, "if we decide to try to stop them, we will miss innovations around bitcoin and other digital assets.". Will the SEC approve bitcoin ETF this year? Mr Peirce was also asked if the SEC would approve bitcoin exchange traded funds this year, as many investors expected. "It's a big question for everyone," she replied She added that her answer was the same as in the past three years, "I don't know." She pointed out that the US Securities and Exchange Commission is in a transitional period, and the new chairman Gary Gensler may be confirmed in the next few weeks and may start working in the near future. "This will have a great impact on whether and when the products traded by the exchange will be approved," the committee said. As for the bitcoin market, Peirce explained in detail: "in the three years since I joined the committee, the market has been very mature. We see a lot of interest in this market. We see something in it that can be said to be quasi exchange trading products to a certain extent. " Peirce later pointed out that Canada has approved some bitcoin ETFs. "You see more institutions participating in the underlying market," she points out She added that these are "types that may allow us to accept the way the underlying market operates.". The Commissioner stressed, "for example, the bitcoin market will never be like the stock market, so I don't think it's appropriate to try to impose this structure on the underlying market. That's what some of the previous failed applications imply. " On how other countries might be ahead of the US in innovation, Peirce said: "I think we are definitely behind the curve. We have seen that other countries have adopted a more effective way to regulate encryption technology. This is not to say that we should not have any regulations at all. They have been saying that we should establish a regulatory framework for encryption technology. " "Our approach is more like 'refuse, and then tell everyone to wait'," she said. "So I think we really need to turn the situation around and be willing to work hard to build a framework suitable for this industry. I am optimistic that with the arrival of the new chairman, he has a deep understanding of these markets and the encryption market. This is something we can do together to establish a good regulatory framework. "

(2021-4-15)