Gary Gensler, recent Chairperson of the SEC, received heavy critisism from Representative Warren Davidson of Ohio. Davidson accused Gensler of failing to protect investors and misusing his power, claiming his tenure of the SEC requires a restructuring.

Gensler maintained during Monday's hearing that all cryptocurrency tokens should be recognized as securities and that cryptocurrency intermediaries must be registered with the SEC. He defended securities laws as necessary to protect against fraud and misconduct. Nonetheless, he also emphasized that not abiding by the law is highly prevalent in the cryptocurrency market.

In response to the accusations, Davidson plans to propose legislation to replace Genser as the head of the SEC with an Executive Director that reports to the Board of the Commision. Included with the proposed changes is the exclusion of former SEC Chairpersons from obtaining the position.

Davidson also presented seven specific points Wednesday that call for Gensler's removal from the Commision. He accused the SEC head of a lack of enforcement of existing breach laws, overstepping his authority with certain decisions, extreme over-regulation of the crypto and blockchain industry, derailing innovation, pushing for new regulations on securities, allowing ETFs and STOs to keep trading even when under question, and lastly, failing to protect American investors.

The cry from Davidson to restructure the SEC became more apparent in the midst of the accusations made against Gensler. While the proposed changes contest Gensler's views, he maintains his firm stance in protecting investors against fraudulent activities in the crypto and blockchain industry.





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