SEC Names New Senior Director of Digital Assets and Innovations

The Division of Corporation Finance has named Valerie A. Szczepanki their Associate Director and Senior Advisor of the Digital Assets and Innovation Division. In her new role, Ms. Szczepanki will deal with security laws relating to digital technologies, including, but not limited to, cryptocurrencies and Initial Coin Offerings. Social media expressed a great attitude toward her appointments and her stated intentions toward working to make new currency tech trading, investing, and development easier to regulate.

Ms. Szczepanki will be looking at issues that concern securities laws that possibly affect the developments and advancements of certain lender technologies, such as blockchain and distributed ledger technologies, cryptocurrencies, Initial Coin Offerings, tokenized securities, and other digital methods of currency transfer and lending. While the SEC recognizes that cryptocurrencies are the wave of the future and need flexibility and freedom to develop in multiple ways, the organization also knows that this tech needs to be regulated and registered to some extent in order to protect those investing as well as those trading in these currencies.

With the developments of all of these new technologies in lending and electronic currency, Ms. Szczepanki has intentions to thoroughly examine the many ways that securities can affect their function and advancement in the markets. Ms. Szczepanki’s efforts are very welcomed by social media outlets and those who utilize social media platforms for business and for other types of electronic currency transactions that deal in the transfer of funds. These routes have noted that regulations are outdated and are affecting the advancement of these types of digital lender technologies and new currency developments as well.

The SEC sites the importance of lessening regulation so that it does not strangle or restrict the technologies as they try to develop. Current regulations tend to be ahead of the pace of the development of these technologies. This leads proponents of currency and currency transfer tech development to be more apt to advocate for more lenient regulation that will allow this technology to develop before it stamps it out based on possibly antiquated regulatory standards.

Last March the agency put the clamps down on those dealing in non-registered cryptocurrency.  On May 30th the SEC got tough by freezing the assets of ICO dubbed Titanium Blockchain Infrastructure Services which raised $21 million in fraudulent currency.

Ms. Szczepanki, who has much experience and has worked within the SEC for 20 years, has said that much of her work as senior advisor for digital assets and innovation will focus on protecting investors, promoting fair and orderly markets, and creating standards that facilitate the development and innovation of capital technology. Along with these components of her focus, Ms. Szczepanki will work closely with regulators to create new standards that both provide needed regulation on new currency tech and lending, as well as allow for flexibility in the development of these new technologies.

To learn more about cryptocurrency cases or report suspected fraud, contact Jeff Newman Law today!