SEC Chair Gensler Denounces FIT21 Act, Citing Investor Protection Concerns
CryptoNewsTerminal Staff22 May, 2024
SEC Chair Gensler Denounces FIT21 Act, Citing Investor Protection Concerns
The US Securities and Exchange Commission (SEC) Chairman, Gary Gensler, has voiced his strong opposition to the Financial Innovation Technology for the 21st Century Act (FIT21), which is set to be voted on in the House. According to Gensler, the FIT21 Act would exempt blockchain and crypto from the securities realm, a move that he believes would undermine investor protection and jeopardize investors and capital markets. He emphasized that the bill would hinder the SEC's ability to investigate crypto investments and leave the vast majority of the market unregulated. Gensler's stance echoes the SEC's ongoing efforts to increase oversight and regulation within the crypto industry. The commission has taken enforcement actions against several crypto companies, including Ripple Labs and its executives, and has issued guidance to clarify the application of securities laws to digital assets.
