In May, new SEC chairman Gary Gensler strongly suggested that Congress take on the regulation of cryptocurrency exchanges that sell legacy currencies to investors. Finding that “there is none” [SEC] Authority to Register and Write Rules to Protect the Investing Public “in relation to the $ 2 trillion market, Gensler also emphasized the potential dangers of unregulated Internet marketplaces for Bitcoin and its imitators.

This prioritization among the multitude of cyberspace investing issues shows that the Chairman believes that neither the existing regulations nor the SEC’s powers are incapable of restricting sellers. Given that the name “exchange” is already in fairly public use by trading platforms (and Congress is unlikely to respond to this confusion anytime soon), this article suggests a trio of immediate solutions to the recently stated SEC jurisdiction problem.

The status quo