The SEC commissioner has expressed concern about policing digital assets excessively.
Hester Peirce, a member of the Securities and Exchange Commission (SEC), took to Twitter on Tuesday to express her opposition to the addition of 20 new jobs to the regulatory agency’s crypto enforcement squad.
“The SEC is a regulatory agency with an enforcement division, not an enforcement agency,” she tweeted on Tuesday afternoon. “Why are we leading with enforcement in crypto?”
In an earlier announcement, the SEC announced plans to increase the headcount of its newly named Crypto Assets and Cyber Unit, which was previously referred to as the Cyber Unit, to 50 from the current 30. According to the agency, that unit – which resides in the Division of Enforcement – is responsible for “protecting investors in crypto markets and from cyber-related threats.”
The crypto savvy Peirce has been a longtime opponent of Gensler’s enforcement-heavy approach to regulation and has been nicknamed “Crypto Mom” by many in the industry. Rather than share specifics on how crypto companies can comply with regulations, Gensler has chosen to regulate through enforcement actions.
Peirce also said she didn’t participate in the cross-government group set up by President Joe Biden’s who issued an executive order on crypto issued in March.