With government support for the crypto industry, market participants are taking action against former SEC employees responsible for past pressure on the crypto market.
Current Situation in the Crypto Industry
With the shift to a new government supportive of the crypto industry, pressure on crypto companies has lessened. Under the interim chair Mark Uyeda, the SEC has dropped many lawsuits against crypto firms, including Coinbase, Robinhood, and Gemini. However, stakeholders still call for further reassessment of the SEC’s powers to prevent past misconduct.
Criticism and Demands from Crypto Business Representatives
Crypto business leaders, such as Brian Armstrong and Stuart Alderoty, are calling for the avoidance of hiring ex-SEC employees. They are also interested in gaining access to published data on the agency’s expenses on crypto investigations under Gary Gensler. Their appeals for a review of hiring policies are accompanied by criticism of excessive regulation and the need for clear boundaries regarding authority.
Supporters of Former SEC Employees
Some employees and former SEC staff, like Hester Peirce and Caroline Crenshaw, defend the agency's actions during their tenure, arguing they adhered to established rules. They feel additional pressure is unnecessary, as the crypto industry has already achieved a relaxation in the agency’s approach.
The situation around the crypto industry and former SEC employees underscores the current tensions between the new government and the agency, yet future reforms could positively impact market development.
