Rep. French Hill Slams SEC, Gary Gensler at House Financial Services Committee Hearing
Date: 2024-09-20 Author: Gabriel Deangelo Categories: IN WORLD
Registration French Hill (R-Ark.) expressed his displeasure with the SEC’s approach under Gensler at a House Financial Services Subcommittee hearing on Digital Assets, Fintech, and Inclusion on Wednesday, September 18. He expressed concerns about the impact of the commission’s policies on the cryptocurrency industry.
French Hill Challenges Gensler in New Claims
In a hearing titled “Dazed and Confused: Dissecting the SEC’s Politicized Approach to Digital Assets,” Hill criticized the commission’s enforcement-based approach to cryptocurrency regulations. He argued that the SEC’s actions, instead of providing clarity, have created more confusion and uncertainty in the marketplace.
“Instead of providing legal clarity so that those who want to comply with the law can do so, Gensler’s approach has only increased confusion and uncertainty for both market participants and consumers,” Hill said. “How does this protect the public?”
Hill cited Gensler’s statement opposing the Financial Innovation and Technology for the 21st Century Act (FIT21), which was introduced in the House on vote day.
He argued that Gensler had found himself in “self-imposed isolation” after the bill received strong bipartisan support.
Hill also expressed concerns that Gensler’s heavy-handed regulatory approach could hurt innovation and drive cryptocurrency companies out of the U.S. “Whether it’s politicized enforcement actions or a refusal to share its analysis on the legal classification of digital assets, the SEC has created a lose-lose situation — consumers, founders, investors, and everyone else,” Hill added.
The SEC’s Problematic Approach to Digital Asset Regulation
Following Hill’s speech, the broader crypto community also expressed dissatisfaction with Gensler’s approach.
Many in the industry believe the SEC is stifling innovation by failing to provide clear regulatory guidance.
Gensler is unpopular with cryptocurrency advocates. Republican presidential candidate Donald Trump has vowed to remove him from office if he wins the November election.
“There will be regulation, but from now on, the rules will be written by people who love your industry, not people who hate it,” Trump said during a speech at the Bitcoin 2024 conference in Nashville.
Earlier this week, Trump again criticized the SEC during the launch of his family’s new crypto platform, World Liberty Financial.
“The SEC has been incredibly hostile,” Trump said of the commission’s treatment of U.S. cryptocurrency companies. “If for some reason something bad happens and we don’t win the election, the people who are currently under investigation and free, the people in the cryptocurrency world, are going to live in hell because it’s going to start right after the election if they win.”
