Basri Caneri 
The US Securities and Exchange Commission (SEC) announced the creation of a new unit, the Cyber and Emerging Technologies Unit (CETU), to combat cybercrime and protect retail investors against emerging technology threats.
The new unit will replace the former Crypto Assets and Cyber Unit, and will provide a more comprehensive cybercrime strategy for the SEC. The CETU will be headed by Laura D’Allaird and will include approximately 30 fraud experts and attorneys drawn from across the SEC.
What Areas Will the SEC’s New Unit, CETU, Focus on?
According to the SEC, the CETU’s main goal will be to prevent the misuse of new technologies and ensure investor safety. The key areas the new unit will focus on are:
- Frauds using artificial intelligence (AI) and machine learning (ML)
- Crypto and investment scams via social media, dark web and fake websites
- Cyber attacks and hacking attempts on sensitive financial data
- Seizure of brokerage accounts of individual investors
- Fraudulent activities involving blockchain technology and crypto assets
- Cybersecurity compliance and audits of non-compliant financial institutions
- Identifying false or incomplete disclosures about cybersecurity risks by currently publicly traded companies
SEC Chairman: “Founded to Protect Investors and Pave the Way for Innovation”
Mark Uyeda, interim chairman of the SEC, stated that the CETU will not only protect investors, but will also enhance the efficiency of capital markets, enabling innovation to grow. Uyeda said in his statement:
“Under Laura’s leadership, this new unit will complement the work of the Crypto Task Force led by Commissioner Hester Peirce. It will not only protect investors, but also promote market confidence by curbing the misuse of innovation.”
This new regulation is interpreted to mean that the SEC will implement stricter supervision of crypto assets and blockchain-based financial systems.
How Will the New Unit Affect the Crypto Industry?
The SEC’s creation of a broader cybercrime unit by directly abolishing the “Crypto Assets and Cyber Unit” could lead to complex reactions in the crypto market.
- More oversight for crypto firms: As the CETU will focus on blockchain-based scams, crypto firms are expected to be subject to more SEC audits.
- Closer scrutiny of social media scams: Influencers and accounts making false investment promises will be under closer scrutiny from the SEC.
- New risks for public companies: Public companies involved in crypto or blockchain are likely to face serious sanctions if they conceal cybersecurity vulnerabilities.
This step shows that the SEC is broadening its scope in combating not only crypto but also next-generation cyber threats. Investors and industry representatives will closely follow the CETU’s activities and their possible impact on the crypto ecosystem.
You can also freely share your thoughts and comments about the topic in the comment section. Additionally, don’t forget to follow us on our Telegram, YouTube, and Twitter channels for the latest news and updates.