The U.S. Securities and Exchange Commission (SEC) has made an announcement in relations to the surprise launching of a Strategic Hub, FinHub, targeted at helping blockchain startups stay in-line with the SEC’s regulations.
FinHub is Targeted Mainly at Digital Asset Innovators
The new project is targeted at making it easy for everyone involved in the operations of a blockchain based entity, to be able to reach the SEC directly for anything pertaining to rules and regulations. Coin offering (ICO) operators and blockchain innovators have been identified as the key focus of this project.
The SEC has made it clear that, although FinHub will be supporting other fintech startups also, especially does dealing with artificial intelligence and automated investing, however, its principal will be on cryptocurrency.
Base on information from the FinHub’s website, it was made known that, any innovator looking to launch any digital asset related services should feel free to approach them for consultation.
The website states that:
“FinHub will play an important role in facilitating the SEC’s active engagement with innovators, developers, and entrepreneurs. In addition to being a resource for information about the SEC’s views and actions in the FinTech space, FinHub is also a forum for engaging with SEC staff.”
SEC has selected a Senior Advisor for Digital Assets and Innovation and Associate Director in its Division of Corporation Finance, Valerie A. Szczepanik, to head FinHub.
The SEC Plans to Catch Them Young
Going by a statement made by the SEC Chairman Jay Clayton which states that:
“The SEC is committed to working with investors and market participants on new approaches to capital formation, market structure, and financial services, with an eye toward enhancing, and in no way reducing, investor protection. The FinHub provides a central point of focus for our efforts to monitor and engage on innovations in the securities markets that hold promise, but which also requires flexible, prompt regulatory response to execute our mission.”
It is clear that the SEC is using the project as an avenue to ensure proper monitoring of the crypto space, using the catch them young approach.