Cameron Winklevoss, co-founder of crypto exchange Gemini, has urged lawmakers to enact crypto regulations that protect the industry from federal overreach.
In a March 4 statement on X, Winklevoss claimed that regulatory enforcement actions have been weaponized to stifle crypto innovation. He argued that agencies are being used against digital assets for political purposes, calling for legal protections to prevent politically motivated enforcement actions.
Winklevoss criticized Senator Elizabeth Warren, alleging that she has influenced the U.S. Securities and Exchange Commission to undermine the crypto sector through excessive enforcement actions. He warned that Warren could extend similar influence over the Commodity Futures Trading Commission and other financial watchdogs in the future.
He expressed concerns that agencies such as the SEC and CFTC could be leveraged by political figures to push an anti-crypto agenda. Drawing parallels with Warren’s past actions against banks and fintech companies, he emphasized the need for a “zero trust model” in dealing with regulators.
Senator Elizabeth Warren’s previous anti-crypto actions, including her most recent scrutiny of Tether’s banking relationships with President Donald Trump’s nominee for Commerce Secretary, Howard Lutnick, are indicative of a broader pattern that could extend to other financial regulatory bodies, Winklevoss fears.
Concerns over regulatory influence and enforcement bias
Winklevoss also voiced distrust toward financial regulators, claiming that anti-crypto policymakers have infiltrated regulatory agencies and are using their power to push political agendas rather than ensure fair oversight.
He specifically referenced SEC Chair Gary Gensler, who previously served as CFTC chairman from 2009 to 2014, suggesting that regulatory agencies could be influenced by political ideologies, posing risks to crypto entrepreneurs and businesses.
This perspective aligns with broader industry sentiments regarding regulatory scrutiny. For instance, the SEC’s recent decision to drop its case against Gemini and a host of other crypto platforms was seen as a positive development by Winklevoss, who has previously criticized regulatory actions against crypto platforms.
Additionally, Gemini’s recent achievement of securing in-principle approval for an Investment Firm License in Malta signifies the company’s commitment to complying with international regulatory standards, further emphasizing the importance of clear and fair regulations.
Moreover, Winklevoss’s stance mirrors the crypto industry’s broader concerns about potential “debanking” practices targeting crypto-related businesses.
