Gary Gensler, Chairman of the Securities and Exchange Commission (SEC), made important remarks at the Senate Banking Committee meeting yesterday, maintaining his tough approach towards the cryptocurrency industry.
The reaction from the cryptocurrency community was swift, as SEC Chairman Gensler announced that digital assets that can be traded on cryptocurrency exchanges must be registered with the SEC.
Brad Garlinghouse, the CEO of Ripple, which is in litigation with the SEC, has harshly criticized Gensler’s comments on digital assets.
Garlinghouse said he made conflicting statements in his tweet against Gensler;
In his statement today, President Gensler said that the securities laws are clear, easy and understandable for the crypto market. He then said that Congress should make laws clearer and more explicit. So which statement is correct?
During the meeting, Gensler’s speech also received a backlash from Republican senators. Senator Pat Toomey reacted to Gensler by stating that Gensler wanted to force regulation on the digital token.
Ripple CEO Garlinghouse told Senator Pat Toomey, who reacted to the SEC chairman: “Thank you Senator Pat Toomey for being the voice of the people.”
In his speech yesterday, the SEC chief almost intimidated the stock markets. Claiming that Coinbase mediates many cryptocurrency sales in a safe state, Gensler is criticized for not using explicit statements. The fact that the SEC, which accuses exchanges of selling securities, does not respond positively to calls to “explain which tokens are securities” is described as a major contradiction.