The article released recently discusses what Lado Okhotnikov of Meta Force thinks about the SEC head’s statements about cryptocurrency integrity. A crypto expert asserts that banks facilitate trillions in laundering, while regulators target cryptocurrencies.
It is enough to overview recent statements of Gary Gensler to notice that they contradict each other.
What is strange in Gary Gensler statements
The SEC head brands the cryptocurrency industry as rife with scams and scammers. It has certainly sparked intense debate. In his remarks, Gary Gensler expressed concerns about the integrity within the crypto space. He was sure of its susceptibility to significant risks. However, this did not deter the regulator from greenlighting spot trading for Bitcoin-ETFs in early January.
The Commission has approved the listing and trading of certain ETFs, linked to the Bitcoin price. At the same time, the head noted that it does not approve or support Bitcoin. He added that Bitcoin is a risky, volatile asset devoid of transparency.
Nasdaq Global Financial Crime Report:
However, later Lado Okhotnikov came across the Nasdaq Global Financial Crime Report, which threw light on the prevalence of financial crime. There was no information about cryptos in that report. It turned out that cash remains the primary tool for criminal activities. It was really surprising after everything we heard from the SEC. And it looks suspicious. If they know the truth about the involvement of traditional banking in crimes, why do they blame the cryptocurrency sector for the most part?
Meta Force Metaverse is a platform aimed at seamless integration and scalable efficiency to cater to a broad spectrum of users. Lado prioritizes decentralization, which ensures robust protection of personal data and transactions. He envisions immense potential in developing the virtual world. In his opinion, decentralized solutions will enable the establishment of truly liberated and secure relationships.
Financial crimes in 2023
$3.1 trillion of illicit funds are traversed through the traditional financial system. The laundered funds were utilized for human and drug trafficking, as well as to finance terrorism. The crimes are horrible. $782 billion is spent on drug trafficking, $346 billion on human trafficking, while $11.5 is spent on terrorism financing.
According to Adena T. Friedman, Nasdaq Chairman and CEO, nobody could resolve the complex issue of fraud no matter how hard they tried. Some financial institutions have been at the forefront of combating fraud for decades but it didn’t help.
Contrast between crypto and traditional finance
Here’s a stark illustration of the extent of money laundering via crypto and fiat currencies. Figures vary considerably. However, cryptocurrency is under scrutiny while the traditional financial sector continues to operate unabated.
The focus remains on combating crypto, while the wealth of richest individuals is increasing, and this a phenomenon. The UN Commissioner noted that these institutions (the World Bank, the IMF) necessitate reform since they want to adapt to the evolving global governance and regulatory mechanisms.
Upcoming EU regulations
The EU regulations, which will be introduced soon, impact the industry considerably. If you want to explore further perspectives on the intersection of finance, regulation and cryptocurrency, delve into insightful Lado’s articles.
About company
Meta Force is a company developing a unique metaverse offering more possibilities than the real world. This Polygon-based platform combines elements of cryptocurrency, business, social networks and games, creating a unique space for interaction, trade and creativity.
Lado Okhotnikov is a founder and CEO of Meta Force. He is a leading expert in crypto business and a prominent publicist.
Based on Dan Michael materials
The head of Meta Force Press Center
press@meta-force.space