US Congressman defends decentralization, blames SBF, Gensler, CeFi for FTX collapse

U.S. Congressman Tom Emmer said FTX’s illness was not a crypto failure; instead, it was a nonaccomplishment of centralized concern (CeFi), Sam Bankman-Fried, and SEC’s Chairman Gary Gensler successful a Nov. 22 Fox Business interview.

FTX's illness is not a crypto failure. It's a nonaccomplishment with CeFi, @GaryGensler, and Sam Bankman-Fried. Decentralization is the point. Watch beneath for much thoughts pic.twitter.com/VYacafc0ZD

— Tom Emmer (@RepTomEmmer) November 22, 2022

Emmer said FTX’s illness was besides a nonaccomplishment of concern ethics, authorities oversight, and regulatory oversight.

Emmer carpets Gensler

The Minnesota Representative questioned the relation of the SEC chair, Gary Gensler, successful the FTX fiasco. He highlighted the gathering betwixt the regulator and SBF successful March. Emmer said:

“They were moving with Sam Bankman-Fried and others to springiness them peculiar attraction from the SEC that others aren’t getting.”

The lawmaker besides criticized the SEC’s nonaccomplishment to analyse atrocious actors successful the crypto space. Emmer wondered what the regulator was doing erstwhile respective crypto firms similar Terra Luna, Voyager Digital, and Celsius collapsed.

Instead, helium alleged the Commission was moving connected “backroom deals” with the atrocious guys portion investigating and prosecuting the bully actors successful the community.

“We request to get to the bottommost of this—we request to recognize wherefore Gary Gensler and the SEC were not doing their job. We request to recognize however this was allowed to get to the constituent wherever people’s savings are getting hurt.”

Meanwhile, the lawmaker said his bureau was investigating if the SEC president Gary Gensler was helping Sam Bankman-Fried and FTX get a regulatory monopoly.

Criticizes mainstream sum of SBF

Emmer besides criticized the New York Times for penning a puff connected Sam Bankman-Fried. He said helium did not recognize wherefore the media steadfast would constitute specified a portion connected “a feline who mismanaged funds.”

The crypto assemblage severely criticized mainstream media outlets for portraying Sam Bankman-Fried arsenic a virtuous individual.

Emmer absolves crypto of blame

The U.S. lawmaker reiterated that the FTX nonaccomplishment was not astir crypto oregon decentralized finance. According to him, the absorption should beryllium connected centralized concern and the request to modulate it.

“Decentralized concern is not what it’s about. It’s not astir the crypto industry, this is astir Sam Bankman-Fried and regulators.”

The station US Congressman defends decentralization, blames SBF, Gensler, CeFi for FTX collapse appeared archetypal connected CryptoSlate.