A number of lawmakers and a commissioner with the U.S. Securities and Exchange Commission (SEC) slammed the securities watchdog Tuesday for focusing on crypto enforcement. This followed the SEC’s announcement that the agency nearly doubled the size of its crypto enforcement unit.
SEC commissioner Hester Peirce, also known in the crypto community as “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 with enforcement in crypto?
Congressman Patrick McHenry (R-N.C.) tweeted stating that SEC Chair Gary Gensler’s regulation by enforcement “is stifling American innovation.” He elaborated: “If the U.S. wants to lead the deployment 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) contested the SEC chairman’s idea of creating value. “It seems Gary Gensler is testing the labor theory of value at the SEC,” he tweeted. “The more labor, the more value created? Nope. It’s a fallacy in economics and in regulation.”
Congressman Tom Emmer (R-MN) questioned: “I wonder how many taxpayer dollars are being wasted in Gary Gensler’s personal crusade against the crypto industry?”
Rep. Bill Huizenga (R-MI) stressed:
Congress should not cede its authority to Gary Gensler. The SEC’s desire to use regulation by enforcement to provide ‘clarity’ for digital asset market participants is a power grab. We need responsible solutions, not edicts from bureaucrats.