18 U.S. states have filed a lawsuit against the SEC, claiming the agency’s crypto regulation enforcement is overreaching and unconstitutional.
States Challenge SEC Over Crypto Regulation Authority
The states allege the SEC's actions exceed its authority, violating states' rights to oversee local economic policy. This creates hindrances to the crypto industry's growth, seen by many as crucial for future economic development.
Crypto Sector Criticizes SEC’s Regulatory Ambiguity
The cryptocurrency sector criticizes the SEC for unclear regulatory practices, which they claim stifle innovation and complicate business operations, pushing companies to more favorable climates abroad.
Rumors Swirl Over Potential SEC Chair Resignation
Amid increasing pressure, there are rumors about the possible resignation of SEC Chair Gary Gensler. Experts believe a leadership change might lead to more constructive discussions on digital asset regulation.
The lawsuit by 18 states against the SEC underscores growing tensions over cryptocurrency regulation between federal and state governments, with critics calling for clearer guidance.
