Congressman Warren Davidson announced that he will file legislation that aims to fire the Securities and Exchange Commission (SEC) chairman Gary Gensler. Gensler has been on the hot seat over claims of a long series of office abuse and lack of clarity over the agency’s handling of digital assets.
Republican Accusation Against SEC Chair
The Republicans on the House Financial Services Committee led by Chairman Patrick McHenry sent a letter to the SEC chair hours before the hearing slamming the commissions’ approach to digital asset regulation and attempts to force digital asset trading platforms to register under the ill-fitting National Security Exchange (NSE) framework.
Gensler was accused of misleading firms to register without providing a clear registration process. The letter further highlighted the lack of clarity provided by the SEC regarding what digital assets are considered securities, making it difficult for NSEs to list such assets.
SEC Oversight Hearing
In his defense of the alleged claims, Gensler, in the hearing stated that the crypto market was non-compliant with the laws, a situation that endangers investors. Additionally, he said that most crypto tokens are considered securities and the laws are very clear.
Upon inquiry from Chairman Patrick McHenry on whether Ethereum (ETH) and Ripple (XRP) were commodities or security, Gensler could not provide any clear answer.
In a Twitter post, Davidson said that the role will be replaced by an Executive Director that will report to the Board, where all authorities reside. He added that former Chairs of the SEC will be considered ineligible.
Conclusion
The hashtag #FireGaryGensler has gained momentum on Twitter as people support Congress’s move to remove Gensler. The community has labeled Gensler as a fraudster, a corrupt regulator who makes rules as he goes, refusing to combat scammers but attacking regulated and legit entities. It is the hope of the community and crypto investors that Garry can be fired so that tokens like XRP can see a new day.
Vincent Munene is a freelance writer and a great blockchain enthusiast. Blockchain has changed his life in terms of financial freedom and in return, he likes to educate people and keep them up to date on everything blockchain. He is a Biochemist by profession and also loves to play the piano.
