US Securities and Exchange Commission (SEC) Chair, Gary Gensler, will testify in front of the House Financial Services Committee. In a recent interview, Representative Patrick McHenry, chairman of the Financial Services Committee, confirmed that Gensler will appear before the committee on April 18.
McHenry said that the SEC chief would face questions regarding his approach to rule-making and digital assets. McHenry stated that this will be the first oversight hearing with the SEC.
All facets of the American financial services industry, including banking, securities, and digital assets, are within the purview of the House Financial Services Committee. The group holds significant overall control over the SEC. Moreover, it will discuss “laying down a regulatory sphere for digital assets.”
Was the SEC Chair, Gary Gensler’s approach to cryptocurrency wrong?
Over the years, the SEC chairman’s stance on cryptocurrencies has drawn considerable attention. Many democratic party members have expressed their disapproval of the same. The party’s anti-crypto attitude might prove terrible for its 2024 election campaign.
Several pro-crypto and pro-Bitcoin democrats are gathering to express their disapproval of the party’s policy, according to Dennis Porter, the co-founder of the Satoshi Action Fund.
Within the first quarter of 2023, U.S. regulators seem to have adopted a strict stance on cryptocurrencies. The SEC sent Wells notices to several cryptocurrency firms, including the popular exchange, Coinbase. Meanwhile, a fresh complaint against Binance has been submitted by the Commodities Futures Trading Commission (CFTC). The crypto community has, however, always emphasized that Congress, not individual agencies, will make the decisions about regulation.
While Europe and many other regions in the world are moving ahead with cryptocurrency regulations, the U.S. has lagged behind on that particular front. The SEC vs. Ripple lawsuit, which has been ongoing since 2020, is expected to lay the foundation of what constitutes a security in the United States. However, there is no clear path laid out by the current regulators.