The House panel, under the leadership of Patrick McHenry, has reasserted its request for documents from the Securities and Exchange Commission (SEC) pertaining to their communications with the Justice Department regarding the arrest of former FTX CEO, Sam Bankman-Fried.
Demand for Transparency
This renewed request comes after McHenry’s initial plea for these documents in February, followed by subsequent follow-up appeals in April and May. The House panel had raised concerns about the adequacy of information provided to the SEC in this matter.
Digital Assets in the Spotlight
The subject of digital assets and regulatory oversight took center stage during a recent hearing. Maxine Waters expressed apprehensions about the potential impact of a government shutdown on the SEC.
Gensler’s Take on Bitcoin
During the hearing, McHenry engaged with Gary Gensler, the head of the SEC, on a crucial issue. Gensler stated unequivocally that Bitcoin does not fall under the category of a security. He justified this stance by referencing the Howey test criteria, emphasizing that Bitcoin does not meet the criteria of an investment contract. Notably, this position aligns with Gensler’s perspective dating back to his tenure at MIT in 2018.
As this inquiry unfolds, the House panel seeks to shed light on the details surrounding Sam Bankman-Fried’s arrest, emphasizing the importance of transparency and accountability in regulatory matters.