Commissioner Hester Peirce, identified colloquially as “Crypto Mother,” has slammed the U.S. Securities and Trade Fee (SEC) for its $10 million settlement with cryptocurrency trade, Poloniex.

The SEC introduced the $10 million settlement on Aug. 9, with Poloniex being charged with facilitating trades in unregistered securities between July 2017 and November 2019.

The SEC asserted that Poloniex workers “acknowledged internally” that they wished to be “aggressive” in circumventing securities regulation in a bid to extend market share by itemizing new digital property which may be deemed securities underneath the Howey Check of 1946. Poloniex elected to neither admit nor deny any wrongdoing.

On the identical day, Peirce slammed the regulator’s actions in a public assertion, emphasizing the opaque regulatory framework that crypto companies should navigate in the USA.

The commissioner highlighted a number of regulatory issues that the SEC has been criticized for failing to make clear with reference to digital asset companies, together with decide whether or not an asset is a safety and what licenses and exemptions are appropriately required to function a cryptocurrency trade:

“Given how gradual we’ve got been in figuring out how regulated entities can work together with crypto, market contributors could understandably be stunned to see us come onto the scene now with our enforcement weapons blazing and argue that Poloniex was not registered or working underneath an exemption because it ought to have been.”

Peirce added if Poloniex had tried to register as a securities trade or as a substitute buying and selling system (ATS) with the SEC, the agency “probably would have waited…and waited…and waited some extra.”

Related: Crypto Mom: True decentralization is the only thing that will save DeFi projects

USD coin (USDC) Stablecoin issuer Circle acquired Poloniex for $400 million again in 2018. In October of the next yr, Circle spun out Poloniex’s trade enterprise, promoting it to a consortium of traders.

In November 2019, Cointelegraph reported that Tron (TRX)’s founder, Justin Solar, was among the many traders that had acquired the exchange.