Gemini Joins Coinbase in Rejecting SEC Veterans in the Crypto Industry

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As a seasoned researcher with a keen interest in the ever-evolving world of cryptocurrencies, I find myself intrigued by the recent developments within the industry. The stand taken by Tyler Winklevoss and Brian Armstrong, two influential figures in the crypto space, against perceived overreach from regulatory bodies like the SEC, is a testament to their unwavering commitment to transparency and fairness.

Tyler Winklevoss, a co-founder of Gemini crypto exchange, has announced that his company will follow Coinbase’s lead by severing relationships with any legal firms or organizations that employ former U.S. Securities and Exchange Commission (SEC) officials who have been linked to alleged excessive intervention against the digital asset sector.

His choice was made following the comments by Coinbase CEO Brian Armstrong, where he expressed criticism towards legal firms and key players in the industry for warmly receiving former SEC employees who have been associated with policies unfavorable to cryptocurrencies.

Tyler Winklevoss Amplifies Armstrong’s Message

On November 5th, X’s post saw Winklevoss call for a continually updated roster of SEC personnel who, according to him, are partaking in an “illegal campaign against cryptocurrency.” He pledged to emulate Armstrong’s actions at Coinbase in this regard at Gemini.

Due to the robust stance taken by the Coinbase executive, his company decided to part ways with international law firm Milbank following their hiring of ex-SEC Enforcement Director, Gurbir Grewal.

The attorney, heavily involved in over a hundred regulatory cases, stepped down right before the SEC’s appeal in its high-profile lawsuit against Ripple. This move raised eyebrows among legal professionals, leading some to surmise that it might indicate internal disagreements within the agency.

Wider circles within the cryptocurrency world have examined the Securities and Exchange Commission’s (SEC) methods, as critics such as lawyer Jeremy Hogan suggest that their appeal in the Ripple case could actually work against them, possibly diminishing their authority in regulating the industry.

Armstrong contended that the top management of the financial regulatory body was trying to suppress the cryptocurrency industry by issuing vague rules and taking questionable enforcement measures. He maintained that those high-ranking officials who remained in their positions during this period should be held accountable for the SEC’s contentious strategies.

Additionally, he highlighted his stance against permanently silencing individuals, but suggested that those responsible for excessive regulation should not reap financial rewards in the cryptocurrency sector.

Justin Sun Offered to Hire Gary Gensler

Earlier on, the creator of Tron, Justin Sun, made an employment proposal to Gary Gensler who was about to leave his position at the Securities and Exchange Commission (SEC), after Donald Trump won the election in November.

In his election campaigns, Trump expressed several intentions towards the crypto community, one of which was dismissing Gensler on his first day in office. As debate continues over the fate of this controversial figure, Sun expressed a potential job offer for Gensler, contingent on him showing genuine respect to the crypto industry, should the MIT professor accept the role.

On the other hand, it seems that Winklevoss and Armstrong’s moves suggest that some industry members might not easily let go of their concerns. Instead, they appear to be striving for accountability in the legal and regulatory arenas.

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2024-12-08 20:12