SEC Representative Drew Attention To Need For Proper Conducting Of Audit In Cryptocurrency Companies

Chief Accountant of the Securities and Exchange Commission (SEC) Wesley Bricker noted that the existence of such a phenomenon as cryptocurrency and Blockchain technology does not change the fact that companies bear the fundamental responsibility for providing unreliable financial statements.

Bricker’s statement was made during the speech at the National Conference of AICPA, where issues related to banks and savings institutions of Washington were discussed. The conference was held on September 17.

Bricker noted that the sphere of accounting carefully tracks the latest trends in this area and applies new technologies. This allows ensuring effective implementation of the necessary procedures that are important for “compliance of the issuer with financial statements”.

Bricker noted that new technologies can be an effective tool in business and financial reporting:

“It follows that changes in technology need not work against investors and the public capital markets. Moreover, companies must continue to maintain appropriate books and records—regardless of whether distributed ledger technology (such as blockchain) smart contracts, and other technology-driven applications are (or are not) used.”

Bricker stressed that companies and their auditors are required to comply with the established rules established by audit standards and federal securities laws. He also reported:

“Distributed ledger technology and digital assets, despite their exciting possibilities, do not alter this fundamental responsibility.”

It should be noted that taking into account recent events, there are grounds to assert that the SEC expands its sphere of influence in order to be able to control cryptocurrency hedge funds.

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