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Here is a new update regarding FTX, that the U.S. Securities and Exchange Commission (SEC) met with crypto exchange FTX and former CEO Sam Bankman-Fried (SBF) many times. Their meeting was done just before the crypto firm filed for bankruptcy.
What Does the Crypto Community Say on SEC and FTX Connection?
There is a rumor that SEC Chairman, Gary Gensler, is helping FTX with the legal loopholes. Also, a new report by Crypto Law, indicates some indisputable facts.
There was an update that on March 23, 2022, members of the staff of Chair Gensler met with the staff of IEX and FTX to discuss custody of digital asset securities by special purpose broker-dealers. It also included the unique risks associated with custody of digital asset securities and while it also added about no action relief discussed in the statement.
In addition, GaryGensler met with SBF six days later. Gensler then dodged his questions on the air about what this meeting was about.
Crypto Law clearly mentioned that these two facts are not opinions but are facts.
The Founder of Crypto-Law.us, John E Deaton, also penned that “Anyone who thinks SBF created this shell structure on his own is being naive. Subpoenas and preservation of evidence letters should already be going out to anyone close to SBF.”
Charles Gasparino, an American Journalist, shared a post on November 13, 2022, that was about Gary Gensler and SBF.
Mr. Gasparino also added that “he made no promises made to SBF and IEX and ordered them to provide much more in the way of disclosure etc to the SEC about their model.” While the Follow-up meetings with the SEC continued up to nearly the time FTX imploded but no SEC approval was signaled.
He lastly pointed that “to hold the hearings on FTX given Bankman-Fried’s Dem political leanings by calling Gensler as a witness might have to think twice. Sources say Gensler told Brad Katsuyama & Bankman-Fried he wanted strict oversight, standards & there was no guarantee of approval.”
On the other hand, Warren Davidson, an American Politician, said that the SEC has engaged in selective enforcement. They worked closely with the biggest entities like FTX for years while engaging in endless discovery requests.
On the next day of FTX collapse, the U.S. Senator Elizabeth Warren, shared that SEC is investigating Crypto platform FTX and added that SEC needs more aggressive enforcement.
Nancy J. Allen is a crypto enthusiast, with a major in macroeconomics and minor in business statistics. She believes that cryptocurrencies inspire people to be their own banks, and step aside from traditional monetary exchange systems. She is also intrigued by blockchain technology and its functioning. She frequently researches, and posts content on the top altcoins, their theoretical working principles and technical price predictions.
