Gary Gensler believes that investors who get involved with cryptoassets should be warned that there are no protections in place.
“You as investors are not getting full, fair and truthful disclosure, and platforms and intermediaries are doing things that we would never allow or think of,” the official described the workings of exchanges.
And added that crypto exchanges “often trade against investors themselves.”
“They have market makers who are on the other side of your trades,” the SEC chief assured.
Gary Gensler recently said that the SEC will spend $2.4 billion to fight cryptocurrencies Meanwhile, the Blockchain Association urged Gensler to drop litigation against crypto companies. The SEC is now pursuing cases against major exchanges Binance and Coinbase, as well as Ripple. The head of the SEC responded by saying he would continue to pursue the cases.