Gensler claims that $2.4 billion is needed to curb the "Wild West of the crypto markets."
Gary Gensler, Chairman of the United States Securities and Exchange Commission (SEC), has stressed the importance of "new tools, expertise, and resources" for curbing irregularities within the cryptocurrency industry.
On July 19th, during a hearing with the Subcommittee on Financial Services and General Government of the US Senate Appropriations Committee, Gensler voiced his approval of the Biden administration's proposed budget of more than $2.4 billion for the SEC in 2024.
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In his address, Gensler cited the “Wild West of the crypto markets” as a central justification for this budget proposal.
According to Gensler, this proposed budget would be used to increase the number of full-time roles at the SEC by over 450 positions, from 4,685 in 2023 to 5,139 by 2024.
Gensler stated that despite the SEC's enforcement division successfully carrying out over 750 enforcement actions in 2022, “rapid technological innovation” has given rise to numerous infractions within the cryptocurrency arena.
In a dialogue with Illinois Senator Dick Durbin, Gensler opined:
Our authorities at the SEC are quite robust — we could always use some more resources. If this committee were to see fit and want us to have more resources, we could use them.
In addition, Gensler expressed his aspiration to secure an extra $70 million in an agreed budget, enabling the commission to hire an additional 170 personnel, several of whom would be dedicated to enforcement tasks.
Gensler's statements were made following a judicial verdict in the SEC vs. Ripple case, where it was ruled that XRP cannot definitively be categorized as a security. Despite the commission's ongoing assessment of the case, Gensler's testimony suggests his view on regulation through enforcement remains the same.
The SEC Chair's appeal for increased funding emphasizes the regulatory body's determination to effectively tackle irregularities within the rapidly advancing crypto industry, underlining its commitment to a more compliant and safe crypto market environment.
