Several U.S. lawmakers and a member of the U.S. Securities and Exchange Commission (SEC) have raised concerns about the securities regulator’s cryptocurrency division expansion. “The SEC is a regulatory agency with an enforcement division, not an enforcement agency.”
Lawmakers oppose the SEC’s focus on cryptocurrency enforcement
On Tuesday, several lawmakers and a member of the U.S. Securities and Exchange Commission (SEC) lashed out at the securities watchdog for its focus on cryptocurrency enforcement. This came after the SEC announced that the agency had nearly doubled the size of its cryptocurrency unit.
SEC Commissioner Hester Pierce, also known in the crypto community as the “crypto mom” for her pro-crypto stance, commented on Twitter:
The SEC is a regulatory agency with an enforcement division, not an enforcement agency. Why are we leading the way on cryptocurrency enforcement?
Congressman Patrick McHenry (R-N.C.) tweeted that SEC Chairman Gary Gensler’s regulation through enforcement is “stifling American innovation.” He clarified, “If the U.S. wants to lead the rollout of the next generation of Internet technology, we must provide clear, thoughtful rules of the road for the digital asset ecosystem.”
Rep. Warren Davidson (R-OH) challenged the SEC chairman’s idea of value creation. “Looks like Gary Gensler is testing the SEC’s labor theory of value,” he tweeted. “The more labor, the more value created? No. That’s a fallacy in economics and in regulation.”
Congressman Tom Emmer (R-MN) asked: “I wonder how many taxpayer dollars are wasted on Gary Gensler’s personal crusade against the crypto industry?”
Rep. Bill Huizenga (R-MI) emphasized:
Congress should not cede its authority to Gary Gensler. The SEC’s desire to use regulation through enforcement to provide “clarity” to digital asset marketers is a power grab. We need responsible decisions, not edicts from bureaucrats.
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