Shark Tank star and the owner of the NBA team Dallas Mavericks, Mark Cuban, has warned that the U.S. Securities and Exchange Commission (SEC) will come up with rules for token registration that will be “the nightmare that’s waiting for the crypto industry.”
Billionaire Mark Cuban, the Shark Tank star who owns the NBA team Dallas Mavericks, warned in a tweet Saturday about how the SEC will regulate crypto tokens.
Toomey noted that the enforcement action “is the perfect example of the SEC having a clear opinion on how and why certain tokens classify as securities. Yet, the SEC failed to disclose their view before launching an enforcement action.”
Cuban, whose net worth is about $4.7 billion, believes that the SEC will come up with rules on how to register crypto tokens that will be a “nightmare” for the crypto industry. He replied to Toomey: “Think this is bad? Wait till you see what they come up with for registration of tokens. That’s the nightmare that’s waiting for the crypto industry,” the Shark Tank star wrote. How else do you keep thousands of lawyers employed and create reasons to ask for more taxpayer money?”
“Most no-action letters describe the request, analyze the particular facts and circumstances involved, [and] discuss applicable laws and rules,” the SEC stated on its website. If the request for no action is granted, “the SEC staff would not recommend that the Commission take enforcement action against the requester based on the facts and representations described in the individual’s or entity’s request.”
Cuban has previously criticized the SEC for taking an enforcement-centric approach to regulating the crypto sector.
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