Crypto Hype Was Going to Bring in Regulators "No Matter What"
The cryptocurrency world brought the Securities and Exchange Commission’s investigation onto itself, said Paul Vigna, reporter at the Wall Street Journal and author of “The Truth Machine.”
The scale and speed at which the entire market has grown, with billions of dollars flooding into the space for “sketchy” products created a situation that “was going to bring in regulators, no matter what,” he explained.
“I don’t think they’re being particularly draconian. I think they’re being honest in that they’re trying to figure out what is happening in this market, what it is, and how to draw the lines around it.”
Last month, Vigna reported that the SEC had sent out dozens of subpoenas and information requests for companies involved in Initial Coin Offerings, or ICOs.
In December, the commission also issued a statement urging caution and skepticism among investors, saying there is “substantially less investor protection than in our traditional securities markets, with correspondingly greater opportunities for fraud and manipulation.”
The SEC’s caution comes against a backdrop of an increasing number of social media networks, from Facebook and Google to Reddit and Twitter, cracking down on cryptocurrency ads.
In recent months, the amount raised in ICOs has lessened, but Vigna says that’s not the metric to watch.
“The real trend to look for is to see where the money is going rather than the totals. Is the money going to more high-quality projects...that seem to have some chance of building something?
“Last year, was just a lot of indiscriminate spending,” he explained. “I think you’re going to see a lot more thoughtful invest[ing] this year.”
For the full interview, [click here](https://cheddar.com/videos/why-the-ico-market-is-cooling).
After the 2021 boom, IPO activity slowed down significantly, in part due to monetary policy – but things are getting moving again with tech-friendly companies like Iboutta and Rubrik making a public debut.
With an increasing demand for mental health services, one person wanted to change the therapy game. In 2017, CEO Alex Katz founded Two Chairs, a company that uses technology to match patients with the right therapist.
Not only is April Financial Literacy Month, it’s also the kickoff of the spring homebuying season. So now is the time to make sure you have a financial plan in place – and why it might not be wise for that to include buying your first home.
While the U.S. may slowly be on the path to lowering inflation (and therefore interest rates), Europe has thoroughly trounced America, putting it on the path to lower rates by this summer.
April's release of the monthly Housing Starts and Building Permits reports by the Census Bureau provides crucial insights into the construction activity in the housing market. These reports are an economic indicator, shedding light on the current state of the housing market and its broader economic impact.
Caitlin Clark is heading to the Indiana Fever, the number one draft pick and the highest-scoring college basketball player of all time. And while she may not be getting millions from the WNBA, there's a few ways she'll net compensation for her generational talents.
Author of 'Clean Meat,' Paul Shapiro joins Cheddar to discuss how the cellular agricultural revolution helps lower rates of foodborne illness and greatly improves environmental sustainability. Plus, how his company The Better Meat Co. is bringing healthier food options to the table.
Recent headlines might make it sound like World War III is imminent, but when it comes to your finances, it's not the time to panic. The market is coming off its longest winning streak since 2011.
You may have noticed fewer new venture capital-backed startups (like Airbnb or Uber) lately. The market slowed to a crawl after 2021, but things are expected to take off again in 2025.
Corporate earnings season is underway, that time when companies share their billions in sales or double-digit profits. But the data shows even companies are struggling with high inflation and interest rates.