TechFlow news — On November 19, according to Fortune, Kristin Smith, executive director of the Blockchain Association, commented that regulatory actions by the U.S. Securities and Exchange Commission (SEC) against the crypto industry have already caused American companies to incur over $400 million in legal defense costs. This figure highlights the excessive regulation imposed on the crypto sector during SEC Chairman Gary Gensler’s tenure.
According to a recent poll conducted by the Blockchain Association and HarrisX, two-thirds of voters support having Congress, rather than unelected regulatory agencies, set rules for the cryptocurrency market. Notably, the crypto industry targeted by the SEC represents only 0.25% of the global market, yet its enforcement actions have driven innovation, job opportunities, and economic growth overseas.
The Blockchain Association emphasized that the SEC's losses in cases such as Ripple, along with other major setbacks, expose the flaws in its "regulation by enforcement" approach. The association urged Gensler to immediately halt enforcement actions against crypto firms and instead focus on an orderly transition, allowing his successor to implement a regulatory framework aligned with congressional intent and market realities.
