Were the SEC cases part of an elaborate plan all along?
The crypto community seems to think so.
If you’re part of the crypto community, you’ll be aware that the SEC has been cracking down on native companies lately. Most notable, are Coinbase and Binance. These cases have caused immeasurable issues for both companies as well as creating a lot of fear and uncertainty in the crypto community as a whole.
We have been reporting on these cases as well as any other crypto news on our LinkedIn community page.
While there have been many discussions about whether the SEC is genuinely concerned about crypto regulations or anti-crypto, now things seem to have fallen into place for the crypto community.
Traditional Finance is getting into crypto
Very recently, traditional finance has announced that they are getting into crypto. For instance, Blackrock, Fidelity, Citadel, Schwab and Deutsche Bank (the largest bank in Germany), have all applied for Bitcoin ETFs and spot exchanges.
While some believe that these moves from traditional finance are good news, many in the crypto community believe that the SEC cases are now too much of a coincidence. One Twitter user said: “ How can’t you think this entire past year was a great inside job.”
Peruvian Bull, an analyst at PE Fintech also said: “All of tradfi getting into crypto right as the SEC cracks down on the crypto native companies is awfully convenient”
These theories aren’t new, however. One Twitter user stated their stance back in April stating: “Anyone else believe crypto is being smothered for large institutional money to swoop in and control/dominate the market?”
Would the SEC do this?
It’s always difficult to get sucked into these types of conspiracy theories, especially as we are optimistic that companies such as the SEC do have the community’s larger interest at heart.
The Twitter user, KhyronX believes that they are capable of doing this…”SEC is incredibly shady, especially under Gensler. I wonder though if this is more pressure on him from Congress. As there’s a bill processed to have him removed and the SEC restructured.” Many in the community also believe that Blackrock may have also placed pressure on the SEC.
Ash Crypto, a popular crypto trader pointed out some more little coincidences such as the US launching its crypto exchange and the markets being backed by the biggest investors in America such as Citadel and Fidelity Digital Assets. Could this be the reason why the SEC went after Binance and Coinbase?
Scott Melker, Host of The Wolf Of All Streets Podcast, stated: “They’re not trying to kill crypto. They’re trying to kill the current crypto industry and then hand it over to their cronies. Citadel, BlackRock, Schwab JPMorgan…”
While it is unsure whether this is true, it is important to point out that Coinbase, in particular, has been trying to comply the whole time despite issues being put on them. You would be forgiven for believing that the SEC cases are more of an inside job at this point.
We will update you on these theories, cases, and other breaking news in the crypto sphere as they come in. For now, we want to know; do you believe that the SEC cases were an inside job all along to make way for traditional finance to dominate crypto?
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