Crypto Lawyer Warned Against Hester Peirce’s ICO Cryptocurrency Plan

A crypto lawyer warned about the daring proposal from the so-called “crypto mom” of the American Securities and Exchanges Commission (SEC) Hester Peirce to end the initial coin offering ICO cryptocurrency stalemate that the is experienced in the United States, which can come to nothing. So let’s read more in the cryptocurrency news today.

Hester Peirce told attendees at a blockchain event in the previous week, about plans to set up a “safe harbor” for token issues, a three-year grace period in which ICO cryptocurrency operators can prove to the commission that their tokens are not classifiable as securities.  All securities in the United States of America are regulated under regulation crypto legislation that dates back in the early 1930s and is slurred routinely in the crypto community.

But Fortune quotes Valerie Dayhia, a crypto lawyer at Perkin Coie, as saying that the four fellow commissioners of Hester Peirce will probably not back this new proposal. The crypto lawyer warned that the Securities and Exchanges Commission (SEC) “has no formal process underway to revise its regulations,” and said:

“This is really one commissioner giving her personal thoughts in a speech.”

Many in the cryptocurrency sector received the comments of Hester Peirce with enthusiasm, including the American Blockchain Association, who wrote:

 “Commissioner Peirce’s proposal is a promising first step […] and the Blockchain Association thanks her for her efforts to address this issue.”

But Valerie Dayhia hinted that instead of placing their focus on the recent comments made by Pierce, who is due to step down from her current Securities and Exchanges Commission in June of 2020, analysts should put their focus on the behavior of the regulator towards Telegram. The ICO of the chat app operator looks like it has been all but derailed by regulatory intervention.  Dayiha said,

“A lot is riding on the Telegram enforcement action. The fact [that] they’re going forward with this litigation speaks clearly to the position of the Commission.”

However, the lawyer added that judicial decisions were likely to have more impact on the industry than the SEC’s stance – adding that observers would do well to focus “on the courts.”