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Rep. Torres: SEC invented ‘crypto asset security’ out of thin air

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Lawmakers from both sides of the aisle on Wednesday expressed frustration with the US Securities and Exchange Commission’s current approach to digital assets.

The House Financial Services Committee Digital Assets Subcommittee on Financial Technology and Inclusion convened Wednesday to discuss how crypto market participants are navigating the current regulatory landscape — and what additional clarity is needed.

The hearing, entitled “Dazed and Confused: Breaking Down the SEC’s Politicized Approach to Digital Assets,” featured legal experts and market participants as witnesses, including Robinhood Markets Chief Legal Officer Dan Gallagher and Teddy Fusaro, the president of Bitwise Asset Management.

Committee members were largely interested in discussing how the SEC defines “crypto asset securities,” a term that the agency made up, one Democratic representative claims. “Did the SEC invent the term out of thin air?” Rep.

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