隐私

Blockchain Association and DeFi Education Fund: The SEC's consolidated audit tracking has privacy issues

ChainCatcher news, according to The Block, the Blockchain Association and the DeFi Education Fund have stated that the new database operated by the U.S. Securities and Exchange Commission raises privacy concerns for millions of people and could potentially trap digital assets.After the financial crisis, the SEC passed Rule 613 in 2012, requiring national securities exchanges and the Financial Industry Regulatory Authority to maintain a Consolidated Audit Trail (CAT). Former SEC Chairman Jay Clayton stated in 2017 that the goal was to allow regulators to oversee the securities market in a "comprehensive" manner. According to the Securities Industry and Financial Markets Association, the consolidated audit trail is set to be fully operational by the end of May 2024.This 351-page rule does not explicitly mention digital assets, but both cryptocurrency organizations have indicated that the SEC considers many cryptocurrency participants to be exchanges or brokers, and therefore they must report information to the CAT. In a friend-of-the-court brief submitted on Thursday, the organizations stated that the CAT would turn "the blockchain into a massive and fully de-anonymized repository that the government can search at will, without having to show any reason to obtain a search warrant." They noted in the brief, "Due to the nature of blockchain technology, even accessing a seemingly limited identity record can unlock a vast amount of irrelevant financial transactions that the user has conducted in the past, present, and future, all of which will be subject to scrutiny by the federal government and numerous private entities."
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