• Kevin O’Leary believes U.S. lawmakers are “fatigued” and “pissed” with the cryptocurrency industry after dealing with one blowup after another
• O’Leary urged crypto exchanges to „get on board with regulation“ if they want to „stay out of the way“ of Gary Gensler and the United States Securities Exchange Commission
• The SEC recently whacked Kraken for $30 million and ordered them to immediately cease its staking services
Crypto Regulation Crackdown
Kevin O’Leary, a Shark Tank investor and venture capitalist, has warned that U.S. lawmakers are becoming increasingly fatigued by the cryptocurrency industry’s failure to comply with regulations. As a result, he urged crypto exchanges to get on board with regulation if they wish to stay out of the way of Gary Gensler and the United States Securities Exchange Commission (SEC).
Kraken Fined $30 Million
The SEC recently took action against Kraken for failing to comply with regulations, issuing the exchange a fine of $30 million and ordering it to immediately cease its staking services. This serves as a warning sign for other cryptocurrency exchanges, who must comply or face similar penalties in the future.
Venture Funding Drying Up
The crackdown on crypto regulation has had a significant impact on venture funding for new projects within the space. Investment is now virtually nonexistent due to worries about enforcement actions from regulators, resulting in aftermarket trading discounts of existing projects.
FTX Poked The Bear
O’Leary believes that FTX may have been responsible for pushing lawmakers over their limit when it comes to compliance within the crypto arena. He stated that this has resulted in an angry bear – one which will become more ruthless if companies continue not complying with regulations.
In conclusion, Kevin O’Leary believes that U.S. lawmakers are growing increasingly frustrated with non-compliant cryptocurrency exchanges and have begun taking more aggressive action against those who fail to meet their standards of regulation compliance – such as fining Kraken $30 million for its failure do so and ordering it to immediately cease its staking services