Crypto Dad Giancarlo dismisses SEC chair rumors, critiques Gensler's legacy

Former Commodity Futures Trading Commission (CFTC) Chair Christopher Giancarlo denied rumors about being considered as the next Chair of the US Securities and Exchange Commission (SEC).

He also denied the rumors about being interested in a crypto-related role within the US Treasury Department, adding:

“I‘ve made clear that I’ve already cleaned up earlier Gary Gensler mess [at] CFTC and dont want to have do it again.”

Although he did not specify, the ‘mess’ could be related to the SECs “regulation by enforcement approach” toward the crypto industry, which one of its Commissioners deemeda “disaster.”

Giancarlo took over as CFTC chair in August 2017, over three years and two terms after current SEC Chair Gary Gensler left the role.

Giancarlo is also known as ‘Crypto Dad’ due to his friendly stance towards this industry in the US since 2018 when he saidthat “cryptocurrencies are here to stay.” In 2021, the former CFTC chair published an autobiography that includes his support for crypto.

He is currently serving as an advisor for the US Digital Chamber of Commerce.

Justified and essential

Gensler recently defended the SEC‘s approach during a speech at the Practising Law Institute’s 56th annual conference on securities regulation, according to a CNBC report.

Gensler highlighted that while Bitcoin is not a security, a substantial number of the 10,000 other digital assets in circulation likely qualify as securities under US law.

He further argued that this classification places them squarely under SEC regulation, reinforcing the need for sellers and intermediaries to register to protect investors and uphold market integrity.

Additionally, the SEC Chair described the regulators vigilance as necessary to prevent “significant investor harm,” citing instances where poorly policed digital assets had failed to demonstrate lasting utility or stability.

He warned that the sector‘s lax regulatory oversight exposed investors to risks, suggesting that the SEC’s tough stance was justified and essential to protect the public.

Since Gensler took the helm in 2021, the SEC has pursued numerous lawsuits against crypto firms, including major exchanges like Kraken, Binance, Ripple, and Coinbase. Many within and without the industry have criticized the regulators actions and claim that it has failed to provide regulatory clarity for the industry.