SEC is Trying to Hide Behind Enforcement Actions after Failing in FTX Debacle, States Ripple’s CEO

CEO Ripple Brad Garlinghouse castigates SEC Chairman Gary Gensler yet again as the executive says no to more digital currencies.

Chairman Gensler and the Crypto Industry

Since Gary Gensler’s appointment as the SEC Chairman he has had a bad relationship with the crypto industry. Despite the market participants’ overwhelming willingness to engage with the SEC in a positive manner, Gensler took a route of enforcement.

SEC’s policy of regulating crypto through enforcement has faced a backlash from across the financial market as the policy spreads fear and uncertainty. Even the US lawmakers seem discontent with Chairman Gensler.

Remarkably, at the time Gensler was being appointed as the SEC Chairman, the crypto industry was hoping for better times. Actually, before the appointment Gensler posed himself as a pro-crypto educationist. Addressing to a Senate Committee for Banking on 2021 Gensler had stated:

“I’m neither a maximalist nor a minimalist, but I do believe [blockchain is] a catalyst for change.”

While initially Gensler tried to be balanced in his speech, lately he has been bashing crypto blatantly.

Chairman’s Recent Remarks and Garlinghouse’s Response

In his latest appearance on CNBC’s “Squawk on the Street”, Gensler stated that there is no need for more digital currencies as he stated that dollar, euro and yen are all digital now.

Following Gensler’s remarks, Ripple’s CEO Brad Garlinghouse took to twitter as he accused the SEC Chairman of distracting the industry from the agency’s failure to deal with the fraudulent activities of FTX that later went bankrupt.

This 100%!

It’s ridiculous and frankly shameful that Chair Gensler was touting the SEC’s enforcement actions as the “cop on the beat,” yet (per public reports) MET with SBF multiple times, but was caught completely flat-footed when the alleged fraud finally came to light. https://t.co/Qq8kPvXcvz

— Brad Garlinghouse (@bgarlinghouse) December 20, 2022

Garlinghouse stated that while Gensler continued ‘touting the commission’s actions as the cop on the beat’, he was ‘caught flat-footed’ as the FTX went broke. According to Garlinghouse, all the SEC enforcement actions against crypto are aimed at masking the agency’s negligence in the FTX debacle.