Kraken Chief Legal Officer: Pragmatic approach will help to cope with the problem

The whole crypto world involving several high-profile crypto firms is distressed, and the investors are confused. The reason is the confusion regarding regulatory activities happening in the United States. In this situation, Kraken suggests taking a pragmatic approach.

On Thursday, Kraken chief legal officer (CLO), Marco Santori, said that the people who believe that the crypto world will not face increased surveillance are living in a fantasy world. It will be full of imposition of regulations by various governments just like the share market faced.

Kraken Chief Legal Officer sided with Coinbase CEO

Santori’s reaction came after the United States Securities and Exchange Commission (SEC) threatened Coinbase to sue over a yield program. The threats provoked the CEO of the famous cryptocurrency exchange company, Brian Armstrong, to display aggressive and resilient behavior on social media.

However, the exchange declared that the company’s developers would dig down the issue in the program as the SEC instructed.

Santori was persistent on Bloomberg’s QuickTake Stock broadcast, where he revealed that he was following Brian’s tweets. The Kraken CLO further added that these tweets by Brian represent the opinion of a lot of crypto traders investors. However, he expressed Kraken and its unique, pragmatic mechanism to deal with the current condition.

Crytpo regulation eminent in the USA

U.S. financial regulations are indeed the hottest topic these days in the crypto market. To Be more specific, the SEC has signaled in the past weeks that they will come up with a set of regulations and policies by the end of the year, affecting various crypto entities. The SEC chair Gary Gensler said they want to regulate the token offerings, DeFi, exchange and lending companies offerings, and stablecoins.

Despite making sparking statements, Gensler has asked the crypto industry actors to support the decision and look for the benefits it offers. The announcement followed several statements by the crypto world where some support the decision and things like CBDCs while others criticize it.