קריפּטאָ איז סענטראַלייזד ניט ענלעך דיסענטראַלייזד

• The SEC chair stated that new technologies can help to create new types of economic contests.
• Gensler’s remarks on the rise of centralization in the crypto ecosystem.

Gary Gensler, the chairman of the Securities and Exchange Commission (SEC), criticized what he believed to be the excessive control held in the market by centralized קריפּטאָקוררענסי exchanges. The SEC chair made a point to make a passing shot at the cryptocurrency industry while also warning about the risks of centralization in traditional finance.

Gensler’s View of Centralization in the Crypto Industry

As per the recent report, before the annual meeting of the Securities Industry and Financial Markets Association, a well-known trade association, Gensler made many statements. These statements mainly centered on encouraging competition among equity market makers. 

Gensler said in the statement:

"מיר האָבן אפילו געזען סענטראַליזיישאַן אין די קריפּטאָ מאַרק, וואָס איז געגרינדעט אויף דער געדאַנק פון דיסענטראַליזיישאַן. דאָס פעלד אַקשלי האט אַ באַטייטיק קאַנסאַנטריישאַן צווישן ינטערמידיעריז אין די מיטן פון די מאַרק.

Then, without naming any specific יקסטשיינדזשיז, Gensler believes a significant number of crypto exchanges operate in this problematic way. And the SEC chair stated that the new technologies can help to create new types of economic contests. But the centralization quickly finds a way to re-establish itself in unique sectors. This statement appeared to be a reference to blockchain technology.

Furthermore, Gensler’s remarks particularly on the rise of centralization in the crypto ecosystem. And pointed out the Government agencies plans to restrict some of the decentralized aspects of crypto and דעפי.

The Office of Foreign Asset Control (OFAC) of the Treasury Department sanctioned Tornado Cash in August and blacklisted a multitude of wallet addresses connected with their service. The incident also widened the gap between supporters of decentralized projects and centralized crypto firms.