Whenever private initiative and innovation takes place, bureaucrats seek to control and regulate it.
As the use of independent (non-government) digital currencies such as Bitcoin continues to grow, the top Wall Street regulator in the U.S. is pushing to gain more control.
As reported by Reuters, “Wall Street’s main regulator said on Tuesday that initial coin offerings (ICOs), a means of crowdfunding for blockchain technology companies, should be subject to the same safeguards required in traditional securities sales.”
It should be noted that the Securities and Exchange Commission (SEC) – in charge of regulating Wall Street – has often been a revolving door of Wall Street bankers going back and forth between government and the private sector. They are the same people who totally failed to see the 2008 financial crisis coming, and served the interests of the big banks.
Now, they are seeking to interfere in the independent digital currency market.
Notes Reuters, ‘”The innovative technology behind these virtual transactions does not exempt securities offerings and trading platforms from the regulatory framework designed to protect investors and the integrity of the markets,” said Stephanie Avakian, the co-director of the SEC’s enforcement division.”
So far, tech companies have raised over $1 billion USD through 89 coin sales this year. There are another 110 initial coin offerings planned in 2017.
Technology attorney Preston Byrne told Reuters, “This is a shot across the bow for many of these ICOs. “I think it ruins the party in the U.S. for sure.”
This is yet another example of the obsession with control that exists within government bureaucracies. Additionally, you can be sure that the big banks are worried by the growth of independent digital currencies, and want nothing more than to see their SEC take control of it.
As bureaucracy grows and government gets bigger, innovation is restricted and stagnation spreads. We need to get out of the mindset of thinking that regulation and government control is a benefit, and realize that letting people be free to innovate and grow is the true path to greater prosperity.
The elites want to hide their many failures behind political correctness, deception, and manipulation. We need to push back and spread the truth.
That’s why I write.
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