- The Blockchain Association reported that crypto firms spent $426 million in defensive litigation against the SEC under Chair Gary Gensler from 2021 to 2023.
- The advocacy group called for crypto voters to support a change in leadership at the SEC, criticizing Gensler’s “regulation by enforcement” approach.
- The Blockchain Association claimed that Gensler’s “anti-innovation crypto crusade” resulted in immeasurable loss of jobs, innovation, and US tech investment, in addition to the litigation costs.
A recent report from the Blockchain Association claimed that the SEC’s “regulation by enforcement” approach under Chair Gary Gensler has cost crypto companies over $400 million in legal fees since 2021. The advocacy group called for voters to support new leadership at the SEC in the upcoming 2024 election.
SEC Files Over 100 Enforcement Cases Since 2021
The Blockchain Association, a cryptocurrency and blockchain advocacy organization, reported on October 31st that the SEC filed 104 enforcement cases against the crypto industry since Gensler became chair in 2021.
According to the association’s data, just a small number of their member companies spent $426 million defending themselves in litigation brought by the SEC. The report argued this amounts to an “anti-innovation crypto crusade” by Gensler.
Calls For Leadership Change At SEC
In its report, the Blockchain Association claimed the SEC’s actions under Gensler resulted in immeasurable losses to US jobs, innovation and investment. The group called for a change in leadership at the SEC, urging crypto users to support different candidates in the 2024 election.
Crypto Becoming Key Election Issue
The association claimed crypto regulation has become an important issue that could sway voters in the next election. They said neither party currently “owns” the issue, but voters are more likely to back candidates who support innovation in digital assets.
With early voting underway, polls show a tight race shaping up between President Harris and former President Trump in 2024. The election outcome could determine the SEC’s stance on crypto regulation over the next four years.
Conclusion
The Blockchain Association’s report highlights growing frustration with the SEC’s perceived heavy-handed approach to crypto regulation under Chair Gensler. With digital assets becoming a key issue among voters, the advocacy group hopes to leverage public opinion to force a change in leadership at the regulator.
