Gensler Defends SEC's Crypto Regulation Efforts

Gary Gensler, the outgoing Chairman of the U.S. Securities and Exchange Commission (SEC), reflected on his tenure and the future of cryptocurrency regulation ahead of his departure on January 20, 2025. He emphasized the SEC's robust enforcement actions, with over 100 cases against crypto firms aimed at protecting everyday investors, stating the industry is 'rife with bad actors' and largely speculative. Gensler expressed pride in the agency's efforts but acknowledged that much work remains, particularly regarding altcoins and compliance among market intermediaries. He noted that while Bitcoin dominates the market, thousands of other projects are unlikely to survive, raising concerns about investor risk. Gensler's regulatory approach has drawn criticism from the crypto community, which views it as overly stringent, especially with ongoing legal battles against firms like Coinbase and Ripple. President-elect Donald Trump's nominee to replace him, Paul Atkins, is expected to adopt a more lenient stance toward the industry, which could lead to changes in enforcement practices.