Regulation
Here’s why the Senate is attacking the SEC!
7:42 a.m. ▪ 3 min read ▪ by Eddy S.
The battle rages between the Senate and the American stock market regulator. Indeed, senators are openly questioning the SEC’s repressive approach to crypto. In this regulatory trench warfare, the Senate seems determined to defend tooth and nail the growth of this emerging universe.
The Senate’s Rebuke of the SEC
By repealing accounting guideline SAB 121, the Senate dealt a major blow to the SEC. With this vote, senators denounce Gary Gensler’s regulations. He wanted at all costs to slow down crypto players by imposing draconian constraints on them. However, against all odds, his attempt to stifle crypto from the start proved counterproductive.
Indeed, the SEC’s tough approach has only galvanized crypto enthusiasts. Far from cleaning up the sector, the controversial directives have on the contrary fueled desires. Lawmakers, institutional investors and even banks have united against Gensler and Biden. They reject this regulatory influence on a universe that they consider to be the future of decentralized finance.
A Senate committed to the crypto cause
With this reproach to the SEC, the Senate shows that it has definitively embraced the crypto cause. Determined to build a favorable framework, the senators seem to want to take the opposite view from Gensler. They want to facilitate investor access to this new asset class. At the same time, they want to give crypto companies more freedom to innovate.
Tomorrow, the Senate will vote on repealing SAB-121.
This is perhaps the only thing the crypto and trading industries agree on.
First, to reiterate, SAB-121 is the rule that the SEC adopted unilaterally without consulting the industry and which says the following:
Unlike everyone…
–Austin Campbell (@CampbellJAustin) May 16, 2024
Crypto: Senate votes against SEC
Faced with this revolt, the head of the SEC is putting on a brave face. Gary Gensler persists in his anti-crypto crusade. Despite the Senate setback, he could very well put a coin back in the machine.
Regardless of the SEC’s maneuvers, the battle now appears to be a lost cause for Gensler. The Senate vote marks a major turning point. It paves the way for massive adoption of crypto within financial institutions. In this ongoing revolution, regulators will play a crucial role but will probably have to deal with this new decentralized universe.
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Eddy S.
The world is evolving and adaptation is the best weapon to survive in this undulating universe. Basically a crypto community manager, I am interested in everything directly or indirectly related to blockchain and its derivatives. In order to share my experience and raise awareness of a field that fascinates me, there is nothing better than writing articles that are informative and relaxed at the same time.
DISCLAIMER
The views, thoughts and opinions expressed in this article belong solely to the author and should not be considered investment advice. Do your own research before making any investment decisions.