In a Bloomberg TV interview, SEC Chairman Gary Gensler once again criticized the cryptocurrency industry, labeling it 'rife with bad actors'. He also reflected on his achievements in the commission.
Statement Background
Gary Gensler expressed pride in the enforcement actions taken by the Securities and Exchange Commission towards the cryptocurrency sector during his four-year leadership. He highlighted the consistent approach of the commission, reminiscing about the 80 actions initiated by his predecessor Jay Clayton from 2017 to 2020, and over 100 measures taken during his tenure. Gensler also noted that cryptocurrencies currently comprise less than 1% of the U.S. financial markets but are full of 'scams'.
Gensler's Strategy at SEC
Gary Gensler repeatedly stated that most cryptocurrencies should be classified as securities, insisting on their registration with the SEC. He is critical of the regulatory approach, asserting that many projects will not survive, comparing them to venture capital investments. The relationship between the crypto industry and Gensler remained tense, with many market participants viewing his strict enforcement approach as excessive and stifling innovation.
Future Industry Views
Gensler emphasizes that despite the accomplishments, much work remains to be done in regulating cryptocurrencies. In his vision, the crypto industry needs to undergo significant changes. Gensler argues that it is important to continue building upon previous efforts to ensure market reliability and safety.
Speaking ahead of his departure on January 20, Gensler expressed confidence in the important changes needed to normalize the cryptocurrency sector. His remarks indicate a keen desire to significantly improve the current situation, despite facing substantial resistance from the industry.
