Memecoin investors must realize that the US Securities and Exchange Commission (SEC) will not come to the rescue if they lose their money, Commissioner Hester Peirce told CNBC on Friday. Peirce, who was now named crypto-friendly President Donald Trump in 2018 and leads the newly created Crypto-Task Force of the SEC, noted:
“… In general it is good for people to know, I don’t have to look at the sec for protection in this area [memecoin investments]. “
Memecoins fall outside the regulatory scope of the SEC
Peirce’s last comments are a repeat of her comments in February, when she said:
“… Many of the memecoins that are available probably have no house in the SEC under our current set of regulations.”
At the time, Peirce noted that the SEC does not consider that most memecoins are effects, which emphasizes the need for clear legislative guidelines that define the legal scope of the SEC. She also stated that the US Commodity Futures Trading Commission (CFTC) might be better suited to regulate these assets.
In her interview on Bitcoin 2025, Peirce noted that although it is possible to ‘pack almost everything in a securities transaction’, most memecoins do not fall into the category. That is why Memecoins fall outside the regulatory scope of the SEC. She added:
“Here was something that I saw a lot of interest in the world – in Meme -coins – and it was logical for us to say,” People, if you expect it to be sec protection, you shouldn’t expect that. “
Peirce compared the increasing interest in Memecoins, which has no intrinsic value, with that of non-fungal tokens (NFTs). Just like Memecoins, most NFTs lost their value considerably after the initial interest has broken down.
Peirce’s comments echoed those of David Sacks, the Crypto Tsar of the White House, who suggested that Memecoins should be treated as collective objects.
Trump Memecoin investors are alone
The official Trump Memecoin rose to a market capitalization of $ 30 billion just before its inauguration, only soon afterwards to nasal dive. Small investors of the memecoin reportedly lost $ 2 billion when the price of $ Trump crashed.
Trump-linked entities, which check more than 80% of the Memecoin range, earned at least $ 100 million in trading costs on January 30. Likewise, insiders reportedly earned around $ 100 million by investing in the Memecoin of Melania Trump, the American First Lady, hours before the launch of the launch.
Trump’s in -depth tires with the crypto world have expressed concern about conflicts of conflicts, since the sitting president will benefit from his own policy. Earlier this month, Trump also held a gala dinner for the top 220 holders of his Memecoin, which ignited serious controversy.
Various legislators have claimed that the gala dinner, which generated mixed reactions from those present, half of whom had sold the memecoin before the event, was a way for foreign companies and investors to gain access to Trump. However, the White House has rejected all claims of conflicts of interest.
Peirce’s comments indicate that investors who have lost money on token cannot hope for help or supervision of the sec. In other words, the SEC has washed his hands of Memecoins, which are increasingly being used to commit scam and reasons, causing investors to take care of themselves.