Fortune reporter Leo Schwartz caught up with participants at the Miami Bitcoin 2023 conference about the policies of the Securities and Exchange Commission (SEC) and its chairman Gary Gensler.
Covering the Miami conference, Leo Schwartz was surprised to hear words of support for Gary Gensler and the SEC from attendees, despite the general techno-libertarian leanings of the audience.
Responding to a reporter’s questions, conference participants said they largely agreed with the SEC chairman’s assertion that all cryptocurrencies, with the exception of VTCs, can have the characteristics of securities.
“What the SEC is deeply concerned about is whether such unregistered securities undermine the legitimacy and reputation of the U.S. financial markets.
We see Gensler more as trying to protect the integrity of America and our financial markets,” said one respondent.
According to Schwartz, most of the bitcoin holders he surveyed believe that all other cryptocurrencies are pure speculation, a far cry from store of value and cross-border settlement tools.
“In the traditional sense for the rest of the crypto industry, bitcoiners’ support of the SEC’s position is unthinkable blasphemy.
This means that many bitcoin holders identify themselves as a special caste and an exception to the general rules.
In their eyes, VTS is the only real cryptocurrency, and any other is at best a cheap facsimile of it, and at worst a fraud,” Schwartz said.
However, an alternative position was also voiced at the conference.
Christopher Calicott, managing director of venture capital firm Trammell Venture Partners, said the public statements in favor of the SEC by bitcoin holders “inspire the state to fight the industry.”
“Supporting a regulator to eliminate competitors is a bad idea.. This means that you are not as confident in the success of your project.
Also, bitcoin owners should not expect to be outlawed. It doesn’t matter what your distributed registry is, what matters is whether or not you are selling an investment contract.
Eventually the SEC will knock on their door as well,” Calicott said.
The Miami Bitcoin 2023 conference was held May 18-20.
As previously reported by the organizers, this year’s event has fallen in popularity, with less than 50% of the average number of participants from previous years applying to participate.