SEC’s Jenga Tower: Crenshaw Calls Out Crypto Chaos! 🎲💥

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So, Caroline Crenshaw, the lone Democratic Commissioner at the SEC, recently decided to throw some shade at the agency’s new crypto strategy. She’s basically saying they’re playing a “dangerous” game of regulatory Jenga. You know, the one where you pull out blocks and hope the whole thing doesn’t come crashing down? 🎉

Crypto Regulation’s Jenga Tower

At the SEC Speak event (which sounds like a TED Talk for finance nerds), Crenshaw warned that the agency is undermining decades of hard work while staring at “alarming market volatility.” I mean, who doesn’t love a little chaos with their investments, right? 😅

She went on to say that the SEC is “playing a game of regulatory Jenga,” with their “proverbial Jenga Tower” made up of a bunch of rules and laws that took years to build. It’s like they’re trying to win a game of Jenga while blindfolded and on a rollercoaster. 🎢

Crenshaw raised a valid point: how many blocks can they pull before the whole thing collapses? Spoiler alert: they’ve already shaken the tower by ignoring institutional integrity and market risks. Talk about a shaky foundation! 🏗️

And let’s not forget the “most devastating” block that’s gone missing: the SEC staff, which has shrunk by nearly 15% in just four months. It’s like a game of musical chairs, but instead of chairs, it’s people leaving the agency. 🎶

She also pointed out that their recent guidance on memecoins and crypto mining is basically a wink and a nod, suggesting they won’t enforce the laws rigorously. It’s like saying, “Sure, we have rules, but we’re not really into following them right now.” 🙄

Crenshaw warned that crypto presents “certain novel risks,” and if they don’t address them, they might just repeat some hard lessons with high stakes. You know, like when you forget to save your game and lose all your progress. 😱

SEC’s New Regulatory Approach

She also took a swing at the SEC’s “regulation by enforcement” approach, calling the new “regulation by non-enforcement” a “total misnomer.” It’s like saying you’re on a diet while eating a whole pizza. 🍕

According to her, the SEC has basically thrown in the towel on enforcing existing laws, all in the name of creating new crypto-friendly rules. Because who needs rules when you can just wing it? 🤷‍♀️

Meanwhile, the SEC’s new chairman, Paul Atkins, is over here criticizing the previous “head-in-the-sand” approach. He’s all about creating a more welcoming regulatory environment, which is great, but let’s hope it doesn’t turn into a free-for-all. 🥳

Atkins shared his vision for a more constructive regulatory environment, which is a nice way of saying, “Let’s not scare everyone away with our rules.” He even directed the Division of Corporation Finance to keep things transparent. Because nothing says “trust me” like a government agency promising to be open. 🙈

In his closing remarks, he declared, “It is a new day at the SEC!” Let’s just hope it’s not a day filled with more Jenga blocks falling over. 🤞

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2025-05-21 13:55