SEC Chair Gensler Issues Second Warning Ahead of Impending Spot Bitcoin ETF Verdict
The Securities and Exchange Commission (SEC) chairman, Gary Gensler, is stirring feathers in the crypto space with his latest online post.
In a tweet on X (formerly Twitter) posted on Tuesday, Gensler advised investors engaging with crypto assets to exercise caution and employ proper risk management practices.
He emphasized that despite the marketing of digital assets as “new opportunities,” there are substantial risks associated with buying and selling them.
If you're considering an investment involving crypto assets, be cautious.
Crypto asset securities may be marketed as new opportunities but there are serious risks involved.
Read @SEC_Investor_Ed's Director Take:
— Gary Gensler (@GaryGensler) January 9, 2024
This tweet marks the second instance where the former MIT blockchain professor has taken the time to highlight the risks inherent in the crypto asset ecosystem.
In a previous tweet on X posted on Monday, Gensler pointed out the inherent volatility surrounding digital assets. He noted that several crypto platforms have become insolvent in recent years, leading to significant losses for investors.
2⃣ Investments in crypto assets also can be exceptionally risky & are often volatile. A number of major platforms & crypto assets have become insolvent and/or lost value. Investments in crypto assets continue to be subject to significant risk.
— Gary Gensler (@GaryGensler) January 8, 2024
The same risk-averse ideology runs among most government officials concerning cryptocurrencies, as epitomized by an investor education program link shared by Gensler in the early hours of today.
Titled “Should You Buy The New Cryptocurrency or Token?” the article is part of the SEC’s initiative to provide accessible information on digital assets
Read more on cryptonews.com
