GOP Congressman Plans to Limit SEC’s Cryptocurrency Regulation Budget

Minnesota Congressman Tom Emmer, a Republican and Majority Whip in the US House of Representatives, intends to introduce a budget amendment that would restrict the Securities and Exchange Commission’s (SEC) use of funds for cryptocurrency regulation. Emmer is concerned about the excessive power wielded by SEC Chairman Gary Gensler and believes that his actions hinder Americans from exploring the potential of Bitcoin and other cryptocurrencies. He asserts that Congress must take appropriate measures to prevent any potential misuse of taxpayer funds by the SEC.

Gensler Raises Concerns about Cryptocurrencies

While some crypto enthusiasts may disagree with his regulatory approach, Gensler continues to express his concerns about the cryptocurrency market. In a recent interview, he highlighted issues of deceptive activities and non-compliance with regulations within the crypto space. These concerns have arisen following a significant legal ruling on the classification of XRP as a security, which contradicts the SEC’s previous stance.

Former SEC Chairman Supports Bitcoin ETFs

Former SEC Chairman Jay Clayton, who served from May 2017 to December 2020, now advocates for the approval of Bitcoin exchange-traded funds (ETFs). In a CNBC interview, Clayton praised the progress made by the cryptocurrency industry, particularly in terms of institutional investment. He commended the increasing acceptance of Bitcoin by major market players and emphasized growing confidence in the sector’s regulatory safeguards.

Gensler Faces Cryptocurrency Regulatory Challenges

The controversy surrounding the SEC’s handling of cryptocurrency regulation reached a critical point when Senator John Kennedy questioned Gensler’s authority and the SEC’s competence in tackling crypto fraud during a Senate committee hearing. The focus of the confrontation was FTX, a prominent cryptocurrency exchange founded by Sam Bankman Fried. Gensler’s journey through the crypto landscape has been marked by shifting attitudes, clashes with industry leaders, and swirling rumors. His evolving stance from initial support to a more stringent approach offers a unique perspective on his tenure as SEC Chairman.

US Congressman Warren Davidson has renewed his calls for Gensler’s removal following a court ruling in favor of Grayscale. Davidson argues that this ruling further highlights the lack of consistency and arbitrariness in Gensler’s actions at the SEC. This recent legal setback is the second for Gensler and his team, as they previously lost a lawsuit against Ripple brought by the SEC.