• The US Congress has initiated an inquiry into the SEC’s recent rulemaking in the crypto space.
• SEC Chairman Gary Gensler will have to testify before the Financial Services Committee on April 18, 2023.
• Warren Davidson, one of Gensler’s biggest critics, has started a #FireGary movement.
SEC Chair Under Fire From US Congress
The U.S. Securities and Exchange Commission (SEC) has recently been cracking down on crypto firms with Chairman Gary Gensler in the driving seat, which is getting popular as Operation Choke Point 2.0. However, the US Congress has started keeping a watch on the SEC’s action as the oversight was almost nil so far. Patrick McHenry, chairman of the Financial Services Committee, recently disclosed that Gary Gensler will need to testify before them at April 18 in order to justify his recent actions.
Digital Assets Subcommittee
Patrick Henry, the Republican Senate member from North Carolina took office this year in 2023 and also established a Digital Assets Subcommittee for handling crypto issues by House Financial Services Committee. Representative French Hill (Republican) is currently chairing this subcommittee while representative Warren Davidson (Republican) is his deputy who are well-known for their pro-crypto stand.
As this development unrolled, Warren Davidson – one of Gary Gensler’s biggest critics – tweeted to start the #FireGary movement and urged people to make it bipartisan by joining him in his mission against Gensler’s recent actions regarding cryptocurrencies and other digital assets regulation matters.
Oversight on US SEC
Chairman Patrick McHenry is willing to make an oversight of the SEC an important part of his chairmanship and plans to call upon Gensler for testimony next month over his recent rulemaking in crypto space as well as enforcement activity concerning digital assets like Bitcoin and Ethereum among others.
It remains to be seen how Gary Gensler justifies his actions towards cryptocurrencies during testimony before US Congress next month amidst increasing calls from public figures such as Warren Davidson for him to step down from his role as SEC chairman due to what they perceive as biased activities against crypto companies within US jurisdiction .