United

Chair

DeFi

SafeMoon

<div class="intro-text">
 The Attorney General of Iowa, Brenna Bird, has<a style="color: #0000ff;" href="https://www.iowaattorneygeneral.gov/media/cms/Iowa__Lejilex_Amicus_55AB7B0C354C7.pdf" rel="noopener noreferrer nofollow"> filed</a> an amicus brief asserting that the United States Securities and Exchange Commission (SEC) exceeds its regulatory authority over the cryptocurrency sector.&nbsp;
</div>
This brief, supported by attorneys general from Arkansas, Indiana, Kansas, Montana, Nebraska, and Oklahoma, claims the SEC’s actions are stifling innovation and could undermine state laws crucial for protecting consumers.
The brief raised constitutional issues, invoking the Major Questions Doctrine and federalism principles. They argue that regulating an industry as vast as cryptocurrency requires explicit congressional authorization, which they contend the SEC lacks. The brief claimed that the SEC’s current method of regulation through enforcement actions rather than creating a proper legislative framework violates the Administrative Procedure Act (APA).
<blockquote>
 “The SEC’s attempt to regulate cryptocurrencies without proper congressional authorization is a direct threat to state authority and consumer safety,” 
</blockquote>
the filing stated.&nbsp;
A key point of criticism in the brief is the SEC’s history of enforcement actions against cryptocurrency entities. The<a style="color: #0000ff;" href="https://www.courtlistener.com/docket/68089978/1/safemoon-us-llc/" rel="noopener noreferrer nofollow"> brief explicitly mentions the case of SEC v. SafeMoon LLC</a>, in which the regulator classified SafeMoon’s token as a security based on its price fluctuations.
The coalition cautions that this precedent could enable the SEC to regulate any commodity that experiences value changes, not just cryptocurrencies.
The filing also challenged the SEC’s classification of several cryptocurrencies as securities, arguing that most do not meet the criteria of an investment contract as defined by the Supreme Court’s Howey test.
The brief argued that the SEC’s approach threatens the free market and could lead to unaccountable regulatory control over the cryptocurrency industry. It further criticizes what it calls “The Biden SEC” for attempting to bypass state consumer-protection laws and abuse its regulatory power.
As of press time, the SEC had not responded to the filing.
RELATED: <a style="color: #0000ff;" href="https://defi-planet.com/2024/07/gensler-likely-to-step-down-as-sec-chair-post-biden-era-10x-research-founder-markus-thielen-predicts/" rel="noopener noreferrer nofollow">Gensler Likely to Step Down as SEC Chair Post-Biden Era, 10X Research Founder, Markus Thielen, Predicts</a>
&nbsp;
If you want to read more news articles like this, visit <a style="color: #0000ff;" href="https://defi-planet.com/" rel="noopener noreferrer nofollow">DeFi Planet</a> and follow us on <a style="color: #0000ff;" href="https://twitter.com/PlanetDefi" rel="noopener noreferrer nofollow">Twitter</a>, <a href="https://www.linkedin.com/company/defi-planet/" rel="noopener noreferrer nofollow">LinkedIn</a>, <a style="color: #0000ff;" href="https://www.facebook.com/DeFi-Planet-129907662611402" rel="noopener noreferrer nofollow">Facebook</a>, <a href="https://www.instagram.com/defi.planet/" rel="noopener noreferrer nofollow">Instagram</a>, and <a style="color: #0000ff;" href="https://coinmarketcap.com/community/profile/DeFiPlanet/" rel="noopener noreferrer nofollow">CoinMarketCap Community</a>.
“Take control of your crypto portfolio with Markets PRO, DeFi Planet’s suite of analytics tools.”
The post <a href="https://defi-planet.com/2024/07/iowa-state-attorney-general-challenges-u-s-secs-authority-over-crypto-regulation-in-new-court-document/" rel="noopener noreferrer nofollow">Iowa State Attorney General Challenges U.S. SEC’s Authority Over Crypto Regulation in New Court Document</a> appeared first on <a href="https://defi-planet.com" rel="noopener noreferrer nofollow">DeFi Planet</a>.

Iowa State Attorney General Challenges U.S. SEC’s Authority Over Crypto Regulation in New Court Document

DeFi Planet

Other articles published on Jul 22, 2024

While Ondo and Book of Meme Continue to Decline, MoonBag Staking Rewards Show Investors What Make...

MoonBag Presale’s Resounding Success Gives Polkadot A Tough Time

Launch of Combined Spot ETF for Bitcoin, Ethereum, and Solana Will Be a Major Catalyst for Bull R...

Stocks to Watch Today: Nvidia, Tesla, and CrowdStrike

MoonBag Presale Defies Gravitation to Take Off as AAVE Set to Launch on Aptos Mainnet

MoonBag: The Crypto Marvel Flying High, While The Sandbox’s Rewards Fall Short in a Sea of Securi...

Join our free newsletter for daily crypto updates!