- Crypto journalist Laura Shin recently hosted a podcast with Coinbase’s Paul Grewal and Polygon’s Rebecca Rettig.
- Rettig stated that SEC’s enforcement actions are not precedential laws.
- “There’s a massive chilling effect due to Gary Gensler’s actions,” says Rettig.
Polygon Chief Policy Officer (CPO) Rebecca Rettig and the Chief Legal Officer (CLO) of Coinbase (NASDAQ:COIN), Paul Grewal recently sat down in a podcast with crypto journalist Laura Shin to address various subjects, including the SEC’s actions. In the episode, Rettig mentions that the SEC’s Chair Gary Gensler’s actions have had a massive chilling effect on the whole cryptocurrency realm.
The Unchained host took to Twitter to emphasize that the Securities Exchange Commission (SEC) enforcement does not set the law. Additionally, her post included her podcast titled “Just a Coincidence? Coinbase and Polygon Lawyers See Bad Omens in SEC Crackdown.”
SEC enforcement *does not* set the law. But Polygon’s @RebeccaRettig1 says the impact of Gary Gensler’s actions are clear: “There is this massive chilling effect.” Watch now: https://t.co/yXgtxoZ12c pic.twitter.com/CxnrglFSGe— Laura Shin (@laurashin) February 21, 2023
In the video, Shin mentions the slew of regulatory activities that have been happening in the cryptocurrency space. Furthermore, Rettig expresses that the statements by the SEC and Gary Gensler have really caused fear in the cryptocurrency realm and amongst retail investors.
“Gensler approaches CNBC’s Squawk Box and speaks to the traditional financial market participants, stating that crypto is bad and that crypto is for criminals,” mentions Rettig.
Rettig emphasizes that SEC’s enforcement actions are not precedential laws. However, she pointed out that Kraken didn’t admit to the allegations and agreed to a settlement so they could move forward with whatever they were doing.
The podcast is a follow-up to the slew of enforcement actions by the SEC on cryptocurrency staking. The commission also charged Kraken with a $30 million penalty. The SEC’s actions were not well received by cryptocurrency enthusiasts and players, with major names such as Coinbase expressing their displeasure with the SEC’s actions.
However, this is not the first time that the SEC has tried to gain control over the cryptocurrency realm. The prolonged Ripple vs. SEC case is a prime example of this, where the SEC claimed that XRP is a security. In the end, the cryptocurrency community believes that the commission is trying to gain control over the cryptocurrency realm and bring it under its wing.
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