Democratic congressman from New York Ritchie Torres has demanded two independent investigations of the U.S. Securities and Exchange Commission (SEC)’s (SEC) handling of digital assets. Rep. Torres expressed concerns about the SEC’s approach to digital assets in public letters. He requested probes into specific issues related to the regulator’s actions.
One investigation targets the SEC’s granting of an SPBD license to Prometheum, a platform Rep. Torres claims doesn’t trade digital assets. He emphasized the decision’s unusual circumstances and questioned Chair Gary Gensler‘s involvement in the registration process.
Rep. Torres’ second investigation request focuses on the SEC’s failure to establish a viable procedure for registering real-world digital asset platforms. He criticized the SEC’s current strategy as a “bridge to nowhere” for real-world trading platforms, deeming it useless.
Rep. Torres sent letters expressing concerns about SEC’s processes to Inspector General Deborah Jeffrey and Comptroller General Gene Dodaro. He likened the SEC to an “overzealous traffic agent,” issuing arbitrary speeding citations, leaving stakeholders uninformed about regulations. Rep. Torres stressed the need for an efficient and transparent regulatory framework, opposing “regulation by enforcement.”
Congressman requests for probes serve as a reminder of the ongoing discussion and close examination of the SEC’s regulation of digital assets. Stakeholders seek clear and consistent laws for innovation and investor protection in the evolving digital asset industry.