The effectiveness of crypto regulations in the United States is in doubt due to the massive collapse of major exchanges and ecosystems over the past year, including FTX, Celsius, Voyager, and Terra. Regulations are frequently intended to protect citizens from bad actors.
Tom Emmer, a congressman from Minnesota, expressed dissatisfaction in a tweet with Gary Gensler’s monitoring tactics.
Emmer has been outspoken in his criticism of Gensler’s “indiscriminate and inconsistent approach” towards crypto regulation. On March 16, the Congressman disclosed receiving inquiries from multiple blockchain and cryptocurrency companies that thought Gensler’s reporting requirements were restrictive and stifled innovation.
In order to lessen the overall paperwork load the federal government places on residents and private enterprises, Congressman Emmer had previously requested that the SEC abide by the rules outlined in the Paperwork Reduction Act of 1980.
Emmer concluded by saying that Gensler’s open testimony before the Financial Services Committee would be helpful because “Congress shouldn’t have to learn the details about the SEC’s oversight agenda through planted stories in progressive publications”
In a previous letter to Gary Gensler, Congressmen Tom Emmer, Patrick McHenry, Jim Jordan, and James Comer criticized the Biden administration’s inconsistent and hypocritical attitude to the commission’s record-keeping of the laws.
The letter refers to an incident that occurred in 2013 when the current SEC chairman was the chairman of the Commodity Futures Trading Commission (CFTC). He then used his email account for official business objectives, as seen by the Office of Inspector General for the organisation (OIG).
The investigation revealed that the commissioner used his email account 7,005 times to conduct business related to the case. In response, Gensler claimed that he was unable to access his work email at home.
The legislators commented about the commission’s strategy because they have repeatedly fallen short of upholding the system’s openness and record-keeping standards but have been relentlessly enforcing the same laws on private enterprises. Recent fines from the commission totalling more than $1.1 billion were levied against 16 businesses for allegedly failing to retain and preserve electronic communications.
Gary Gensler has time and again asserted his offices’ dominance and tried to expand his jurisdiction over the Crypto sector. He has clearly said on occasions like cryptocurrencies like Ethereum show qualities that of a security.