House spending bill includes provision to restrict SEC's enforcement actions against crypto businesses, raising questions about the future of crypto regulation in the U.S.
The U.S. House of Representatives has recently taken steps to limit the enforcement power of the U.S. Securities and Exchange Commission (SEC) over the cryptocurrency industry. This move is part of a larger debate on how to regulate the burgeoning crypto industry in the United States.
The House has included a provision in its spending bill that would restrict the SEC's funding to enforce actions against crypto businesses. This provision is seen as a direct response to SEC Chair Gary Gensler's approach to regulating the crypto industry. Gensler has been criticized for his enforcement-heavy strategy, with critics arguing that he should focus more on policy development.
Despite the House's move, the appropriations bill, which includes the provision limiting the SEC's enforcement power, still needs to be approved by the Senate. The Senate is currently controlled by Democrats, who are generally more aligned with Gensler's approach to crypto regulation. This could potentially pose a hurdle for the bill's passage.
This development comes at a time when the U.S. government is grappling with how to regulate the rapidly growing crypto industry. The House's move to limit the SEC's enforcement power reflects a broader debate over whether a more policy-oriented approach should be adopted. The outcome of this legislative effort could have significant implications for the future of crypto regulation in the United States.
The U.S. House's attempt to limit the SEC's enforcement power over the crypto industry underscores the ongoing tension between regulators and the crypto industry. The outcome of this legislative effort could shape the future of crypto regulation in the U.S., potentially shifting the balance towards a more policy-oriented approach. However, the bill still faces significant hurdles in the Senate, where Democrats more aligned with Gensler's enforcement-heavy approach hold the majority.