According to the SEC commissioner, the agency’s approach to crypto was “a danger to the entire industry.”

SEC Commissioner Mark Uyeda said the agency does not provide guidance on securities laws.

The US Securities and Exchange Commission (SEC) commissioner said the agency's approach was “a risk to the entire industry.”

Speaking with Maria on Fox Business Morning, SEC Commissioner Mark Uyeda said: “I think our policies and our approach over the last several years have really been a huge risk to the entire industry.

Uyeda added: “What happened was part of a broader frustration when we didn't provide an interpreter's guide on what you can and can't do and if you're involved in some kind of collateral offering, how to register, how to register.” As a broker-dealer, control how you register as a currency.

His comments came after Crypto.com accused the SEC of overstepping its regulatory authority over crypto in response to Wells' notice to exchanges they received.

More recently, the SEC sued market maker Cumberland for being an unregistered securities dealer. Cumberland has reportedly violated securities laws by buying and selling over $2 billion worth of crypto assets since March 2018.

Crypto exchange Coinbase has launched its legal challenge against the SEC, requesting documents from the agency on how it determines crypto regulation. However, last month, the regulator sought an extension until February 2025 for Coinbase to submit documents in its case.

Ripple Labs is not leaning against the regulator after filing a notice of appeal in its ongoing battle to return to 2020.

Asked what the SEC could do differently, Uyeda said, “There needs to be some clear guidelines and definitions of what exactly falls outside the securities laws and what doesn't.”

Billionaire entrepreneur Mark Cuban has said he is interested in becoming SEC chairman if Vice President Kamala Harris becomes the next president of the White House.