New York, Tuesday, November 05, 2024-The Blockchain Association (BA) has reported that cryptocurrency companies have incurred $426 million in legal expenses as a result of enforcement actions taken by the US Securities and Exchange Commission (SEC) under Chair Gary Gensler.
The advocacy group, which has been vocal against what it describes as Gensler’s “regulation by enforcement” approach, highlighted this financial toll in an October 31 update, citing 104 cases initiated by the SEC against the crypto sector from 2021 to 2023.
According to the BA, the reported cost only represents a “small slice” of the industry, based on data from its member companies.
The organization emphasized that Gensler’s strategy has not only drained resources from companies but has also stifled innovation, cost jobs, and deterred U.S. technology investment. BA CEO Kristin Smith urged crypto voters to advocate for new leadership at the SEC, calling for an end to what she termed the agency’s “anti-innovation crypto crusade.”
In the 2024 election, the SEC’s stance on crypto could become a significant issue, as both the Democratic and Republican parties have yet to take definitive stances on cryptocurrency regulation.
Former President Donald Trump has pledged to remove Gensler if elected, while reports suggest that Vice President Kamala Harris, a Democratic frontrunner, is also considering replacements.
With Election Day set for November 5, crypto voters, who represent about 18% of the electorate, may hold sway in the election outcome. Polls show a close race between Harris and Trump, with early voting underway in many states.
