ShapeShift founder: New SEC guidance signals "acknowledgment of power boundaries," strict regulation stifles utility token innovation

Foresight News reported that ShapeShift founder Erik Voorhees publicly commented on the U.S. SEC's release of interpretive guidance on crypto assets, stating that the significance of this guidance lies in the SEC acknowledging the boundaries of its own authority. He compared it to the large-scale enforcement actions against utility tokens during Gensler's tenure, pointing out that those actions greatly reduced entrepreneurs' willingness to design utility tokens, which in turn led to the proliferation of Meme coins and fraudulent projects.