(MENAFN- CoinXposure)
The U.S. Securities and Exchange Commission (SEC) could be investigated for its“haphazard and heavy-handed approach to digital assets” or, more specifically, for its“sweetheart deal” with crypto
currency platform
Prometheum.
Representative Ritchie Torres sent requests to the Inspector General of the SEC, Deborah Jeffrey, and the Comptroller General of the Government Accountability Office, Gene Dodaro, on July 13. He writes:
Torres emphasizes the SEC's decision in May to grant a particular broker-purpose dealer (SPBD) license to Prometheum, a digital asset platform
founded in 2017 by two u.s. financial
attorneys .
According to Torres,“Prometheum appears to be nothing more than a Potemkin platform
, functioning as a timely talking point for crypto
critics as opposed to a genuine trading platform
for crypto
customers.”
He requests an investigation into the SEC's failure to establish a“workable process for registering” digital asset platform
s and Prometheum's“unusual backdoor deal.”
Prometheum has recently become a public enemy in the crypto
industry, and Torres' investigation request is not the first of its kind.
In June, the business was thrust into the limelight after its co-founder, Aaron Kaplan, testified before Congress.
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Kaplan's general support for the SEC's regulatory strategy under current securities laws appears to be the source of the issue.
Immediate speculation began to circulate on Twitter about Prometheum, emphasizing its possible ties to chinese investors , after the hearing.
The Blockchain Association requested information about the company from the SEC on June 15.
In July, six members of congress
urged the SEC to investigate Prometheum's“ties to the Chinese Communist Party.”
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