- Rep. Tom Emmer called SEC Chair Gary Gensler the “most destructive, lawless SEC chair in history” for his handling of crypto regulations
- Emmer accused Gensler of pushing crypto companies overseas by creating a hostile regulatory environment without clear guidelines
- Emmer blamed Gensler for failing to prevent the collapses of major crypto firms like FTX and Terra Luna despite meeting with their executives
Rep. Tom Emmer recently slammed SEC Chair Gary Gensler during a House Financial Services Committee hearing, calling him the “most destructive, lawless SEC chair in history.” Emmer accused Gensler of mishandling the cryptocurrency industry through what he termed “regulation by harassment.”
SEC Rules Drive Companies Out of the US
Emmer claims the SEC has created an environment where it’s nearly impossible for crypto companies to access financial services, forcing them to seek more favorable conditions abroad. He mentioned how companies are now looking to places like China where the regulations aren’t as hostile.
He pointed out that since Gensler took over, the SEC has finalized about 55 rules related to crypto. According to Emmer, none of these have helped blockchain companies comply with regulations. Instead, they have stifled the industry.
Criticism Over Major Crypto Collapses
Emmer also blamed the collapse of FTX and Terra on Gensler. He pointed out that the SEC chair met with FTX representatives at least twice before its eventual implosion.
He also slammed the SEC’s handling of SAB 121, a rule related to accounting standards for crypto companies. Emmer argued that the rule destroys investor trust and undermines market stability.
Calls for Gensler’s Removal
The congressman then called for Gensler’s dismissal, describing him as ineffective and incompetent. He blasted Gensler’s entire regulatory strategy, accusing him of lacking transparency and consistency.
Emmer said that Gensler’s actions have done more harm than good, pointing out that dozens of enforcement actions against companies have taken place under his watch yet not a single clear regulation has been set for the industry.
Conclusion
In summary, Rep. Tom Emmer unleashed a scathing critique of SEC Chair Gary Gensler, accusing him of overreach and regulatory harassment that is driving crypto companies out of the US. Emmer called for Gensler’s removal while announcing plans to introduce legislation to curb the SEC’s enforcement powers.
