U.S. Democratic lawmakers criticize SEC chair, saying he is effectively ignoring crypto matters tied to Trump
Summary
- Democratic lawmakers said the SEC is leaving unaddressed crypto (digital asset) matters linked to President Trump.
- Rep. Stephen Lynch said the SEC has consecutively withdrawn key lawsuits against multiple crypto firms, including Binance, severely damaging its reputation and undermining public trust.
- Lawmakers said consistent enforcement and responsible regulatory enforcement are needed for the crypto industry and consumers, and they took issue in particular with the SEC’s passive response to Trump-linked crypto businesses.
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U.S. Democratic lawmakers criticized Securities and Exchange Commission (SEC) Chair Paul Atkins at a House hearing, saying he is effectively leaving unaddressed crypto (digital asset) matters linked to President Trump.
According to crypto-focused outlet Decrypt on the 11th (local time), Democratic Rep. Stephen Lynch said, "The SEC is consecutively dropping key lawsuits it had brought against a number of crypto companies, including Binance," adding, "The SEC’s reputation has been severely damaged, and public trust is eroding rapidly."
He said, "This situation is not desirable for either the crypto industry or consumers," stressing the need for consistent enforcement by regulators and responsible regulatory action. Democratic lawmakers in particular argued that the SEC has been responding passively in connection with crypto businesses directly or indirectly tied to President Trump.
The hearing also saw back-and-forth over the SEC’s recent shift in its enforcement stance and the reasons behind its withdrawal of lawsuits against major crypto firms.
JH Kim
reporter1@bloomingbit.ioHi, I'm a Bloomingbit reporter, bringing you the latest cryptocurrency news.
