Gensler Slams Crypto Exchanges, Ignites XRP Debate

Gary Gensler, Chairman of the Securities and Exchange Commission (SEC), has once again slammed crypto exchanges in a recent interview. On June 5th, Gensler was invited to a CNBC interview hosted by Jimmy Cramer. There, he expressed concerns about the crypto market and exchanges, mentioning that they lacked proper regulations.

According to Gary, crypto exchanges carry out several activities that you wouldn’t find traditional exchanges doing. For instance, he mentioned that crypto exchanges:

• Do not provide adequate disclosures for investors
• Trade against their customers.

In his view, traditional exchanges like the NYSE are bound by law to provide proper disclosures, making it clear to investors what they’re getting into.

The comments from the SEC Chair have sparked several debates and discussions in the crypto community. Tobi Opeyemi Amure, a top analyst at Trading.Biz noted that the SEC boss is putting up a final fight before conceding defeat. On May 30th, an Utah court ruled that the commission must pay a $1.8 million fine in the DEBT Box case.

Before that, it had lost out on the XRP case, which was a major blow that was widely celebrated by the crypto industry. Jimmy Cramer also mentioned the XRP case during the interview, telling the SEC chair that “…you lost that one, thanks!” The discussion also touched on the possibility of an XRP ETF and the historical performance of XRP.

Up until recently, the SEC has been on a never-ending crusade against the crypto market. The commission has filed several lawsuits against different exchanges and platforms, including:

• Binance
• Coinbase
• Uniswap
• Kraken

Gensler also talked about how its the commission’s duty to protect investors from manipulation and fraud. He then cited several high-profile cases, like the FTX and Celsius Network collapses, to back up his argument. However, what’s noteworthy to mention is that the SEC has still not made a positive move towards providing proper regulations for the industry.