The post Republican Attorneys General Challenge SEC’s Crypto Regulation Authority in New Lawsuit appeared on BitcoinEthereumNews.com.

A coalition of 18 Republican Attorneys General has initiated a lawsuit against the SEC, claiming unconstitutional overreach in its regulation of the cryptocurrency sector. This legal action, filed in Kentucky, includes not just the SEC but all five of its Commissioners, highlighting an uncomfortable dynamic within the Commission itself, where pro-crypto sentiments exist. As reported by Fox journalist Eleanor Terrett, this suit is part of a broader Republican strategy advocating for favorable crypto regulations in anticipation of future leadership changes. The recent lawsuit by 18 GOP Attorneys General against the SEC underscores a significant backlash against federal crypto regulation, spotlighting internal conflicts within the Commission. New Legal Challenges for the SEC Amidst Political Pressures In a significant legal maneuver, 18 states led by Republican Attorneys General have formally challenged the SEC’s regulatory authority over cryptocurrencies. This action coincided with SEC Chair Gary Gensler’s recent remarks, which hinted at potential shifts in leadership within the agency. The lawsuit asserts, “Congress has repeatedly declined proposals to give federal agencies broad regulatory power over digital assets. The SEC has not respected this allocation of authority. Instead, without Congressional authorization, the SEC has sought to unilaterally wrest regulatory authority away from the States through an ongoing series of enforcement actions.” This statement reflects a growing sentiment among states that federal intervention is encroaching on their jurisdiction. Interestingly, the lawsuit highlights a complex situation; among the accused Commissioners are Trump appointees, including “Crypto Mom” Hester Peirce, known for her supportive stance on cryptocurrency innovation. This layer of conflict may serve to further complicate the SEC’s response to the allegations. Political Implications for Future Crypto Regulation The lawsuit illustrates a pivotal moment in the ongoing battle over cryptocurrency regulation in the United States, particularly with the upcoming changes in the political landscape. As the lawsuit is…

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Filed under: News - @ November 15, 2024 4:22 am