Impact of SEC Regulations on Crypto Industry

So just a few years ago, the SEC had lawsuits

against every major crypto exchange.

Just like three years ago, the SEC maintained that every crypto asset

except for Bitcoin was a security and likely in violation of federal

securities

laws. Uh, crypto companies were being debanked, entrepreneurs

were moving

offshore. There's never been, to my knowledge,

the degree of regulatory pressure on

an industry that crypto felt for the years under the Gary Gensler era.

I really think it's unprecedented in American history.

And the beautiful thing about today, as you said, is not that we went from

regulatory headwinds to neutral.

We actually went from regulatory headwinds to regulatory tailwinds.

So what are the specifics? Well, as soon as the new SEC came in under, uh,

Chair Atkins, it removed all of those spurious lawsuits

against the largest firms, against the Coinbases and the Krakens

and everyone

else. It's very hard to operate in a growth

mindset when you're being sued by the

largest financial regulator in the world, and that was every company in crypto.

They also shut down the debanking efforts, so now these companies can have stable,

uh, relationships with banking. And then they started layering on positive

progress, right? So not just removing the, the headwinds, as we said, but putting

in place tailwinds. So Congress passed the Genius Act,

which created a regulated

market for stable coins. We've seen the SEC come out with its

Project Crypto

initiative, which is piece by piece pushing the

industry forward.

And the way to know that this is a big deal is to just look at the names

that are

now willing to play in the crypto market that weren't a few years ago.

BlackRock is building a huge business in the crypto market.

Nasdaq, Nyse, DTCC are building huge businesses.

Goldman Sachs says it has hundreds of people working on tokenization and stable

coins. This is a industry-wide phenomenon, and it's gonna mean a huge amount of

capital, a huge amount of investment, and a huge amount of real-world

applications.

We're no longer just talking about meme coins, although we started there.

We're talking about stocks and bonds and hundreds of trillions of dollars of

assets

all moving on chain. That's why regulation is such a big deal.