Tech billionaire Mark Cuban has recently slammed SEC Chair Gensler after the latest hearing on Tuesday. He added that he has spoken to the Harris team, who clarified that they would oppose 'regulation through litigation' while referring to the current US crypto regulatory approach.

Recently, Kamala Harris vowed to boost investments in the crypto industry and promised to support its growth if elected President.

Cuban's Criticism

Cuban also criticized SEC Chair Gary Gensler, implying that his departure could positively impact the economy. 'You leaving is worth a point in GDP growth,' he added. During Tuesday's hearing, Gary Gensler accepted the fault in mishandling the Debt Box case.

The US SEC uses a regulation-by-enforcement approach to regulating certain assets like cryptocurrencies. This approach involves taking legal action against individuals and entities, thereby establishing agency precedent over rulemaking. The crypto industry, demanding clear crypto regulations, has slammed this approach.

Congressional Reactions

Apart from Mark Cuban, Congressman Tom Emmer also slammed Gensler, calling him the most 'destructive' and 'lawless' Chair in history. Emmer wrote:

'You've made up the term crypto asset security. This term is nowhere to be found in statute; you made it up [and] you never provided any interpretive guidance on how crypto asset security might be defined within the walls of your SEC.'

He added that the SEC has milked the term 'crypto asset security' to continue its enforcement actions over the past three years. Previous reports suggest that Gensler could be fired from the SEC chair due to severe objections to his approach.

Gensler's Testimony

During Tuesday's Gary Gensler testimony, Rep. Ritchie Torres slammed the SEC chair, accusing him of attempting a power grab by inventing the term 'digital asset securities.'

Torres made an interesting comparison: If in-game NFT transactions are subject to securities laws, will the same be applicable to the sale of Yankee tickets? Torres added, 'Mr. Gensler is misclassifying collectibles, art, and tickets as securities. ' Responding to this, Mark Cuban wrote, 'Gensler is gone.'

SEC's Internal Division

SEC Commissioner Hester Peirce admitted that the regulator should have long ago agreed not to treat crypto assets as securities. She said: '[By] tucking into a footnote, we admit that the token itself is not a security now. That's something that we should have admitted long ago.

Hester Peirce also blamed the SEC for giving preferential treatment to big players like BNY Mellon and allowing them to bypass the SAB 121 accounting rules.

The Future of Crypto Regulation

The debate over crypto regulation continues to intensify. With key figures like Mark Cuban and members of Congress voicing their disapproval, pressure is mounting on Gary Gensler and the SEC.

The crypto industry is eager for precise, consistent regulations that foster innovation while ensuring compliance. As this story unfolds, the implications for the future of cryptocurrency regulation in the United States remain significant.