As per the reports, The Massachusetts Secretary of the Commonwealth, the principal Public Information Officer of the state government, has formed a FinTech advisory group that will focus on developments in the FinTech sector, as well as digital assets. Representatives from Eastern Bank in Boston, Blockchain firm Arwen, legal experts, academics, and other firms will be part of this group. This collaboration will support advice securities regulators to meet the growing demands of this progressively increased space.
The goal of forming the group was not simply to crack down on offending companies, but to provide clarity to those businesses running in the FinTech space, according to Arwen CEO Sharon Goldberg. Businesses can suffer significant expenses to ensure that they are not violating the law, but it is not easy due to frightens and breaking a rule, as well as they may not actually know what that rule is. On the same context, Ethan Silver, the chair of the broker-dealer practice at Lowenstein Sandler stated that several FinTech firms have appointed teams of lawyers and consultants with the intention of making sure they are not breaking any regulations accidentally.
The office of Secretary William Gavin, who has reportedly formed this group, has been vocally critical of cryptocurrencies like Bitcoin (BTC). He stated in December 2017 that Bitcoin is a bubble which will ultimately become a worthless product and called Blockchain as a nascent technology which is subject to changes, errors, or criminal activity and that Bitcoin is fertile ground for investment scams and other financial fraud. Moreover, in last March, Gavin issued consent orders that requested the permanent suspension of five initial coin offerings (ICO), with saying that the firms are selling unauthorized securities.