At a hearing to investigate the collapse of the cryptocurrency market, Gary Gensler (director of the SEC) was criticized by attendees. This was the general criticism that a number witnesses and legislators made throughout the hearing.
On February 14, the Senate Banking Committee’s ranking member, Tim Scott, said that Gensler should be present before September in order to discuss further enforcement actions in the crypto space. The hearing was entitled “Crypto Crash”: Why Financial System Safetyguards Are Required for Digital Assets. Scott was also critical of the chairman, the Securities and Exchange Commission (SEC), for not giving evidence but instead “making rounds at the morning talk show.” The hearing was focused on the following: “The Collapse in Cryptocurrencies and Why Financial Systems Requires New Protective Measures For Digital Assets” The Senator from South Carolina said that the Securities and Exchange Commission had not provided “the minimum amount of guidance,” which could have contributed to the lack of investor protection for financially struggling companies such as South Carolina. FTX, Terra BlockFi Voyager, and Celsius
“To assume that SEC has failed in any significant preventive effort, to ensure that this kind of catastrophic failure doesn’t happen again” It would be very beneficial if Chairman Gensler could get in here as soon and as quickly as possible to give his views.