The US Securities and Exchange Commission (SEC) has said it will add 20 positions to its enforcement unit for crypto markets and cyber-related threats. This unit will be named ‘Crypto Assets and Cyber Unit’ and will have a total of 50 dedicated employees.
“The US has the greatest capital markets, because investors have faith in them, and as more investors access the crypto markets, it is increasingly important to dedicate more resources to protecting them,” SEC chairperson Gary Gensler said in a press release.
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Today we announced that we’re bolstering the unit responsible for protecting investors in crypto markets & from cyber-related threats. The newly renamed Crypto Assets & Cyber Unit in the Division of Enforcement will grow to 50 dedicated positions.— U.S. Securities and Exchange Commission (@SECGov) May 3, 2022
What The SEC Hopes To Achieve With This?
With increased crypto-related crimes and cyber security threats, the SEC hopes that the enhanced strength of the new unit will help it bring down crypto crimes and cybersecurity threats more effectively.
“The Division of Enforcement’s Crypto Assets and Cyber Unit has successfully brought dozens of cases against those seeking to take advantage of investors in crypto markets. By nearly doubling the size of this key unit, the SEC will be better equipped to police wrongdoing in the crypto markets while continuing to identify disclosure and control issues with respect to cybersecurity,” Gensler said in his statement.Click here to read more about the First US Blockchain-Based National Stock Exchange BSTX-
How Has The Existing Unit Performed?
The US had created this unit in 2017, and so far, they have brought more than 80 enforcement actions related to fraudulent and unregistered crypto offerings and platforms. This has directly resulted in monetary relief of more than $2 billion.
In addition, the unit has brought numerous actions against SEC registrants and public companies for failing to maintain adequate cybersecurity controls and for failing to appropriately disclose cyber-related risks and incidents.
“Crypto markets have exploded in recent years, with retail investors bearing the brunt of abuses in this space. Meanwhile, cyber-related threats continue to pose existential risks to our financial markets and participants. The bolstered ‘Crypto Assets and Cyber Unit’ will be at the forefront of protecting investors and ensuring fair and orderly markets in the face of these critical challenges,” says Gurbir S. Grewal, director, division of enforcement, SEC.