The Blockchain Association (BA), an advocacy group for cryptocurrency and blockchain, reported that since Gary Gensler became chair, the U.S. Securities and Exchange Commission (SEC) has cost companies at least $426 million in litigation over digital assets.
According to an Oct. 31 update on BA’s “regulation by enforcement” page, the SEC brought 104 cases against the crypto industry between 2021 and 2023. The BA claims that self-reported data from its member companies—a “small slice of the industry”—indicates that crypto firms spent $426 million on “defensive litigation” against the SEC.
“The industry – and the American voter – is ready for change and a fair shot,” stated the BA. “The time of law-fare against our industry must end. That begins with a change of leadership at the SEC.”
Many crypto advocates and U.S. lawmakers have criticized Gensler for what they see as a “regulation by enforcement” approach, targeting major firms like Binance, Ripple, and Coinbase since he assumed office in 2021.
The BA further claimed on X that Gensler’s “anti-innovation crypto crusade” has led to “an immeasurable loss of jobs, innovation, and U.S. tech investment.” Both the BA and its CEO, Kristin Smith, urged crypto users to support a leadership change at the SEC.
In its posts, the BA didn’t specify which political candidates it would endorse in 2024 to bring about a “change of leadership” at the SEC. However, Republican candidate Donald Trump has promised to fire Gensler “on day one” if elected. Reports suggest Democratic Vice President Kamala Harris is also considering alternative candidates for the SEC chair position.
“Crypto is an up-for-grabs election issue with the power to sway voters: no party currently ‘owns’ the issue, but voters say they are more likely to support and back candidates who support innovations in the digital asset space,” noted the BA. “Crypto Voters make up 18% of the electorate and are even more winnable on this issue.”
Early voting is underway across the U.S., with Election Day set for Nov. 5. Many polls show Harris leading in the popular vote, though the Electoral College race remains tight between her and Trump.
