Minnesota Representative Tom Emmer has attacked the Biden Administration and SEC Chair Gary Gensler during a session of Congress, as the U.S. House passed an appropriation amendment designed to “reign in SEC enforcement abuses against the digital asset industry.” Emmer railed against Gensler and the SEC, arguing that the SEC has “pursued dozens of enforcement actions against the digital asset industry despite never finalizing a single rule or regulation for the industry to follow.” To combat this, Emmer put forth an amendment that would prohibit the U.S. Securities and Exchange Commission from utilizing funds for enforcement activities concerning digital asset transactions, until Congress enacts legislation that confers jurisdiction over this asset class to the SEC. Emmer also criticized Gensler for praising celebrities while ignoring the “Ponzi scheme” of FTX. During a “sideline” conversation with CNBC, Gensler acknowledged the possibility that FTX could be brought back to life, provided the new owners follow the proper disclosures and avoid commingling all functions. Gensler previously declared the cryptocurrency industry rife with non-compliance with securities laws. However, he was criticized for his soft-handed dealings with FTX and its founder, Sam Bankman-Fried. This news is a sign of the ongoing tensions between the SEC and the burgeoning digital asset industry. It remains to be seen whether Emmer’s amendment will be passed by Congress.
You can read more about this topic here: Decrypt: Congress Moves to Clip the SEC’s Wings as Gensler Signals Openness to a Revived FTX