Disclaimer: This report is being updated live from the Financial Services Committee floor. Check in for the latest on the hearing’s progress. All time notes are in EST.
In advance:
As Cointelegraph reported on Sept. 20, the United States House of Representatives Financial Services Committee is holding a hearing today, Sept. 24, with the Securities and Exchange Commission (SEC) Chairman Jay Clayton and four other SEC commissioners.
At the time of the announcement, the published agenda included such critical topics for Cointelegraph’s readers as the SEC’s “Howey test” for considering cryptocurrencies securities, regulation strategy for Facebook’s Libra, the 144A exemption that crypto offerers like Van Eck operate under, and more general “Environmental, social, and governance” (ESG) matters.
10:06 The hearing begins
Financial Services Chair Maxine Waters began the hearing with statements touching on a wide range of the SEC’s activities, singling Facebook’s Libra out, saying that itt appears that “Facebook is looking to establish a new global financial system intending to rival the U.S. Dollar.”
Republican Ranking Member Patrick McHenry encouraged the SEC “to reduce regulatory barriers,” saying that “you will hear a lot of doom and gloom today. It is not all doom and gloom.”
10:17 Opening statements from the Commissioners
Commissioner Robert J. Jackson Jr emphatically supported greater transparency for corporate political spending and the need to provide greater transparency for consumers and investors.
Commissioner Hester M. Peirce expressed concern about “overriding investor preferences,” saying that the job of the SEC is not to make decisions for investors. She also emphasized the importance of “regulatory humility,” the need to “always be asking if what we’re doing is right,” entailing work with investors, corporations and other regulators like the Commodity Futures Trading Commission (CFTC).
Commissioner Elad L. Roisman said that “market integrity is a priority for us.”
The increase in capital raised in private rather than public markets were front and center in Commissioner Allison Herren Lee’s concerns, as were the role of digital assets and cryptocurrencies, as well as financial intermediaries.
