The SEC's enforcement actions related to cryptocurrency dropped by 30% in the final year under Gary Gensler. This decline was highlighted in a report by Cornerstone Research.
SEC's Enforcement Statistics
In Gary Gensler's final year, the SEC launched only 33 crypto-related actions compared to 47 the previous year. A total of 90 defendants or respondents were charged, including 57 individuals and 33 firms.
Key Allegations and Penalties
The most frequent allegation in SEC's litigation was fraud and unregistered securities offerings. Monetary penalties hit a record high of nearly $5 billion, driven by a $4.5 billion settlement with Terraform Labs.
Changes in SEC Leadership
With Gary Gensler's departure and Mark Uyeda's appointment as acting chair, the SEC has already shifted its priorities. On January 23, it canceled a rule that required crypto assets to be reported as liabilities on banks' balance sheets.
The changes in SEC's policy under new leadership indicate a shift in the focus and direction of cryptocurrency regulation in the United States.
