• US lawmakers are warning SEC Chair Gary Gensler that he could soon hear from Congress. Senator Bill Haggerty of Tennessee says the SEC is weaponizing itself to destroy an entire industry and needs to explain its actions.
• The SEC recently filed lawsuits against Coinbase and Binance for allegedly violating securities laws. Senator Cynthia Lummis of Wyoming has said the regulator has stymied crypto exchanges from being able to properly register.
• Congressional members have compared the actions of the regulatory bodies to that of Operation Choke Point, which was an initiative under the Obama Administration to apply pressure to legal financial institutions they weren’t fond of.
US Lawmakers Warn SEC Chair
US lawmakers are issuing a warning to the Chair of the U.S. Securities and Exchange Commission (SEC), saying that he could soon hear from Congress. Republican Senator Bill Haggerty of Tennessee says that the SEC Is weaponizing itself to destroy an entire industry and tells Chair Gary Gensler to anticipate having to explain himself to members of Congress. “The SEC is weaponizing their role to kill an industry. Allowing a company to list publicly and then stonewalling their attempts to register is indefensible. Gary Gensler, expect to hear from Congress.”
SEC Files Lawsuits Against Crypto Exchanges
The SEC recently filed lawsuits against both Coinbase and Binance, two of the largest crypto exchange platforms in the world, for allegedly violating securities laws. In March, Haggerty and other Congress members penned a letter demanding answers from US regulatory agencies for their enforcement actions against crypto firms.
Operation Choke Point Comparison
At the time, Senators compared the actions of regulatory bodies with Operation Choke Point, which they say was an initiative under Obama’s administration designed applying pressure on legal financial institutions they weren’t fond offsides with congressional members who were not fond off them at all .
Senators Speak Out On Crypto Regulations
Another Republican Senator , Cynthia Lummis , issued a statement on this lawsuit saying that “the sec has failed provide path digital asset exchanges register , even worse has failed provide adequate legal guidance what differentiates security commodity . Sec ‘s continued reliance regulation enforcement continues harm consumers . Real consumer protection requires creating robust legal framework exchanges can comply with , not pushing industry offshore shadows .” This why congress needs pass Lummis – Gillibrand responsible financial innovation act .