Express
Blockchain Groups Warn SEC’s Consolidated Audit Trail Threatens Privacy
Summary: The Blockchain Association and DeFi Education Fund have raised concerns that the SEC’s new Consolidated Audit Trail (CAT) database could expose millions of users' financial activities, including those involved with digital assets. CAT, fully operational since May 2024, aims to consolidate securities market data for regulatory oversight. Although it doesn’t explicitly mention digital assets, both ...
The Blockchain Association and DeFi Education Fund have raised concerns that the SEC’s new Consolidated Audit Trail (CAT) database could expose millions of users' financial activities, including those involved with digital assets.
CAT, fully operational since May 2024, aims to consolidate securities market data for regulatory oversight. Although it doesn’t explicitly mention digital assets, both groups argue that the SEC might require crypto platforms to report detailed transaction data, posing significant privacy risks.
In an amicus brief, the groups warned that CAT could turn blockchain networks into vast, deanonymized databases accessible by the government without warrants. They also expressed concerns about potential hacking risks and the misuse of user data.
The SEC has not commented on the matter, but the crypto community remains wary of CAT’s potential implications for privacy and security.
Tags: CAT,DeFi,SEC
Link: Blockchain Groups Warn SEC’s Consolidated Audit Trail Threatens Privacy [Copy]
