The SEC launched a unit to protect investors from illicit activity in cryptocurrency, AI, and emerging digital tech.
As the primary digital asset anti-fraud unit for the agency, the Cyber and Emerging Technologies Unit (CETU) has taken over operations from the Crypto Assets and Cyber Unit, which had previously served in that capacity.
In accordance with a press release that was issued on February 20th, CETU will function with a group consisting of thirty fraud specialists and attorneys from the SEC who come from different departments.
Hester Peirce, the commissioner of the Securities and Exchange Commission, will be in charge of the Crypto Task Force, which Laura D’Allaird will lead and collaborate closely with. Mark Sylvester and D’Allaird served as co-chairs of the Securities and Exchange Commission’s Crypto Assets and Cyber Unit in the past.
As of right now, it is not apparent whether Sylvester will play a part in the new section or whether the organization intends to include him in any capacity at all.
The unit will not only protect investors but will also facilitate capital formation and market efficiency by clearing the way for innovation to grow. It will root out those seeking to misuse innovation to harm investors and diminish confidence in new technologies.
Mark Uyeda, acting SEC chair
The SEC has undergone yet another transition in its organizational structure with the replacement of the former crypto misbehavior unit. In the time since President Donald Trump’s return to office, the commission has taken a position that is increasingly favorable toward cryptocurrency.
Former SEC head Gary Gensler, who is known to be skeptical of cryptocurrencies, resigned and Mark Uyeda, who is in favor of cryptocurrencies, took over his responsibilities.
During the time that Uyeda was in charge of the agency, it established a Crypto Task Force, engaged actors in the digital asset business, such as Jito Labs, in Ethereum staking, and placed Jorge Tenreiro in a new position as its chief crypto prosecutor.
n addition, the Securities and Exchange Commission has decided to halt sanctions against Binance and Coinbase. The administration of Gensler filed a lawsuit against both exchanges in 2023, saying that they had engaged in unregistered securities offers and violated federal law.
Additionally, the Securities and Exchange Commission (SEC) intends to reduce the number of crypto enforcement actions and create more transparent regulatory standards for the digital asset business while Trump is in office.
