Analysis: The U.S. SEC plans to assess the balance between cryptocurrency privacy and regulation, with regulatory trends potentially polarizing

According to CryptoSlate, the U.S. Securities and Exchange Commission (SEC) will hold a roundtable on cryptocurrency, financial surveillance, and privacy on December 15, with participants including Zcash founder Zooko Wilcox.

Analysts believe that the SEC may assess how much regulatory weight it can give to crypto privacy projects during this meeting in its own rule-making process. If a consensus is reached that zero-knowledge proofs can meet compliance obligations, this flexibility could be incorporated into the rules for digital asset broker-dealers, alternative trading systems, and custodians; if the meeting splits into two camps of "privacy is a right" and "privacy facilitates crime," the existing surveillance-based framework may continue to be used, pushing privacy advocates toward litigation.