The US Securities and Exchange Commission (SEC) plans to almost double its staff for the Crypto Asset and Cyber unit.
The announcement was made on Tuesday as SEC is hiring additional 20 staff members to double the protection of investors in the cryptocurrency markets.
SEC to tighten security measures
SEC’s crypto assets and the cyber team was a unit of 30 staff, which is now pumped to a team of 50, as they added 20 new additional staff. The 20 new additions will include experts from various fields, including staff attorneys, trial lawyers, and analysts for fraudulent activities.
Source: Bloomberg
“The SEC’s crypto unit “has successfully brought dozens of cases against those seeking to take advantage of investors in crypto markets.”
Gary Gensler, SEC Chair
He also said that by doubling the size of the unit, the SEC will be able to bust further fraudulent activities in the crypto markets and, at the same time, provide better cybersecurity.
The team, which was created in 2017, has carried out more than 80 enforcement actions that revolved around fraudulent crypto activities, including offerings and other illicit activities. The funds recovered through the capture are estimated to be over $2 billion.
The additional team members will strengthen the team to provide further assistance to ensure that the investors are protected in the crypto markets. Additionally, the team will also address the companies that have failed to maintain the necessary cybersecurity controls.
Source: NewsroomPost
SEC is also taking action against such companies who fail to disclose their cyber-related attacks and risks.
“Crypto markets have exploded in recent years, with retail investors bearing the brunt of abuses in this space. Meanwhile, cyber-related threats continue to pose existential risks to our financial markets and participants.”
Gurbir S. Grewal, Director of the SEC’s Division of Enforcement
The additional team members will pump up the game in bringing down and identifying illicit activities in the crypto market.