On Sunday, Minnesota Representative Tom Emmer called out Securities and Exchange Commission(SEC) Chair Gary Gensler, demanding that he addresses Congress about his approach to regulating crypto. Emmer believes SEC’s failure to gather information needed from crypto firms will continue to cause disasters like the recent FTX exchange collapse.
Emmer claims that the SEC has not shown clarity regarding its approach and is unwilling to give vital insight. He referenced a letter sent to the SEC chairman in April that requested answers to various questions about the financial watchdog’s procedures and policies. Emmer says Gensler evaded the questions in his response.
Minnesota Representative Levels Several Accusations Against SEC Chair Gary Gensler
Emmer further explains that Gensler declined to give Congress the information requested in the letter that would have painted a clear picture of the apparent inconsistencies in the SEC chairman’s approach that caused him to miss Celsius, Terra, FTX, and Voyager.
The Minnesota Representative also claims that the Congressional Blockchain Caucus(CBC), which he chairs, recently received reports of SEC investigations and inquiries that warrant concern. He reports that SEC never made an effort to gather information on crypto firms and that the agency’s requests were haphazard and unfocused.
Emmer accuses Gensler of a lack of transparency. He reveals that the SEC chairman has not appeared before the House Financial Service Committee since October 2021. Emmer says Gensler dodging Congress hurts investors and leaves Congress in the dark to a point it only learns about SEC’s crypto investigations through the media.
Minnesota Representative Continues to Criticize Gary Gensler’s Leadership
It is not the first time Emmer has criticized Gensler. In March 2022, on his Twitter account, he raised concerns regarding SEC’s interactions with crypto firms. At that time, the Minnesota Representative was still focused on the agency’s information gathering and reported that SEC was “stifling innovation with an overburdensome” approach.
In a subsequent Tweet, he stated that regulatory agencies must not weigh down crypto startups by requesting burdensome and extra-jurisdictional reporting requirements. He further vowed to ensure regulators do not kill American innovation and opportunities.
In November 2022, Emmer also weighed in on the collapse of the FTX crypto exchange. He described the firm’s downfall as not a failure of crypto but rather a failure of its then-CEO Sam Bankman-Fried and Gensler’s leadership.
Meanwhile, the crypto market retains the FTX-triggered bearish wave. Most assets have recorded limited upsides as bears erase minor upward trends since bankruptcy filings by leading cryptocurrency firms. Bitcoin wavered at $17K during this publication, trading with a 0.82% 24hr drop at $17,018. Crypto assets have painted their daily charts red, confirming bearish actions.
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