United States Congressman Warren Davidson has filed a new bill called the SEC Stabilization Act, which looks to restructure the United States Securities and Exchange Commission (SEC). One of the key provisions in the bill is the dismissal of currency SEC Chair Gary Gensler. The SEC Stabilization Act The new bill filed by Davidson calls for the immediate dismissal of current Securities and Exchange Chair Gary Gensler and the restructuring of the SEC to better protect the markets. Rep Davidson, in a statement, added, “U.S. capital markets must be protected from a tyrannical Chairman, including the current one. That’s why I’m introducing legislation to fix the ongoing abuse of power and ensure protection that is in the best interest of the market for years to come. It’s time for real reform and to fire Gary Gensler as Chair of the SEC.” The representative used the hashtag “FireGaryGensler,” adding that the United States markets must be protected from the SEC Chair. He was joined by the Republican Party’s majority whip, Tom Emmer, who Davidson quoted as stating, “American investors and industry deserve clear and consistent oversight, not political gamesmanship. The SEC Stabilization Act will make common-sense changes to ensure that the SEC’s priorities are with the investors they are charged to protect and not the whims of its reckless Chair.” Tom Emmer co-authored the bill. Structural Changes According to Davidson, apart from the removal of Gensler, the bill will also look to restructure the Securities and Exchange Commission, redistributing power between the SEC and its commissioners. It will also add a sixth commissioner to the agency so that no single party can have a majority over the commission and create an executive director position that would handle all day-to-day operations. While Davidson and Emmer did not explicitly mention cryptocurrencies or the crypto ecosystem in their statements, both are known to be extremely pro-crypto. Furthermore, both are also highly critical of Gensler’s leadership of the Securities and Exchange Commission. Emmer has previously called Genser a “bad faith regulator,” while Davidson is the vice chair of the House Financial Services Committee’s new Subcommittee on Digital Assets, Financial Technology, and Inclusion. Crypto Community Pushes Back Against Gensler The Securities and Exchange Commission’s latest action against Coinbase and Binance has not been met warmly by the crypto community. Many brought up old videos of Gensler and his views on crypto. One such video shows the SEC Chair teaching blockchain technology at MIT. Another video that has garnered significant controversy is that of Gensler telling hedge funds that Ethereum and Litecoin are not securities. These videos and many more have left the crypto community seething at what they perceive as blatant hypocrisy. Gensler has also previously showered praise on Algorand, but later called ALGO a security. The crypto community has also pointed to the fact that the SEC Chair has close ties with Senator Elizabeth Warren. Senator Warren is notoriously anti-crypto, with the crypto community wondering if she has a role to play in Gensler’s recent outbursts against crypto. Many in the crypto space believe that Gensler is out to kill the crypto industry, with the regulatory action against Coinbase and Binance the latest salvo against the industry. The SEC made its position against crypto clear when it launched regulatory action against Binance, the world’s largest cryptocurrency exchange, Binance, and Coinbase, the largest cryptocurrency exchange in the United States. Disclaimer: This article is provided for informational purposes only. It is not offered or intended to be used as legal, tax, investment, financial, or other advice.
