Do you know Gary Gensler, the head of the SEC, whose statements constantly agitate the cryptocurrency world? Recently, he was put in trouble by the US Congress itself. Rumors about his impeachment are gradually growing…
Gary Gensler, the thorn in the side of US crypto boxes
At Coinpri,we have presented the setbacks of various blockchain players in the USA such as Kraken, Beaxy, Bittrex and recently Coinbase which is considering leaving the United States.
Why? Because Gary Gensler, the president of the SEC, has been conducting a full-fledged hunt against the major players in the crypto ecosystem in the United States since his appointment in 2021.
Ironically, Gary is now disavowed by his own country which blames him for his incompetence in not detecting the FTX Ponzi.
Crypto, Democrats and Republicans are no longer the only sides in the US
In the United States, an internal struggle is being played out to decide the future of regulation, with on one side supporters of cryptocurrencies like the major Jason P. Lowery of the United States Space Force, author of the book “Softwar: A Novel Theory on Power Projection and the National Strategic Significance of Bitcoin”, but also hostile actors such as Letitia James from DFS of the State of New York, which is suing KuCoin and Ethereum, or Gary Gensler.
We have also seen to another extent Florida Governor Ron DeSantis opposing CBDCs from the Biden administration, an opposition joined by Senator Mike Lee. There is no shortage of examples and the United States is more fragmented than ever.
Coinbase and XRP fight back, Congress steps in and knocks out SEC boss
Coinbase and XRP have joined forces to hold the SECThey point to a failure of the SEC to play its informational role before sanctioning, despite the fact that it is enshrined in the Constitution. They point to a failure of the SEC’s fundamental duty to sanction rather than regulate.
In the face of threats from the SEC and the lack of responses, Coinbase, the US exchange giant says it is ready to leave the US. The American Congress reacted quickly and convened Gensler April 18, 2023:
In this video clip the Congressman, Whip Emmer asks a series of questions about some of the items listed above, and the answers from Gary Gensler are not clear at all.
The Congressman points out in passing his incompetence on the cases FTX and Celsius Network showing that he was unable, especially in the context of his mission, to protect American citizens.
Another Congressman also points to his inability to answer simple questions that he should have the answers to immediately: Is Ethereum a Security or a Commodity? He doesn’t answer clearly, despite having orchestrated about 50 cases against US crypto companies, taking the economy down.
In this other video clip of his interrogation, Gary Gensler is criticized for not fully fulfilling his function, not prioritizing American interests, and not pursuing policies that are understandable to American citizens and businesses.
The U.S. Congress, with this veto, is making it clear that it no longer condones the frenzied actions of the SEC. They are thus putting an end to the actions of Gary Gensler, who should probably be asked to resign, since his incompetence was highlighted during this five-hour session conducted by various members of Congress. It remains to be seen who will replace Gary Gensler and what regulatory policy he will pursue. But we now know that he will have to adopt a more moderate approach and especially clarify his roadmap in order to allow American blockchain companies not to want to leave the United States. Last but not least, it will have to clarify the rules of the game of American regulation.
Co-founder of Coinpri, Expert in blockchain and NFT, I vulgarize the new web3 and blockchain paradigm here.