Prometheum Responds to Financial Committee's Concerns Over Approval


August 16, 2023


Gabriel Negrín

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Prometheum Ember Capital LLC has responded to House Financial Services Committee concerns about its designation as the first Special Purpose Broker-Dealer for digital assets. 

These concerns, expressed in separate letters to the Financial Industry Regulatory Authority (FINRA) and the Securities and Exchange Commission (SEC) leaders, included Prometheum's lack of a track record of customer service and its ties to the Chinese firm, Wanxiang.

In response, Prometheum reiterated its intention to comply with federal securities rules while reducing worries about its ties to Wanxiang, emphasizing that no formal inquiry had been launched. The repercussions have been significant, with personalities such as Coinbase CEO Brian Armstrong and crypto influencer BitBoy Crypto weighing in. Both advocate for equal legal treatment and express worries about concealed plans between the crypto startup and regulators.