Senator Cynthia Lummis has expressed her concerns regarding the Securities and Exchange Commission’s (SEC) current strategy for regulating cryptocurrency. In a recent post on X (formerly Twitter), Lummis criticized the SEC for relying on a “ruling by enforcement” approach, which she believes lacks clear justification and ultimately harms consumers. She emphasized that crypto asset companies seeking guidance from the SEC often face enforcement actions without clear guidelines.
Lummis believes it is the responsibility of Congress to develop a comprehensive regulatory framework for the crypto industry. This framework should provide clarity on what constitutes a security and what qualifies as a commodity in the crypto market. By establishing clear guidelines, Lummis believes that businesses and consumers will benefit from increased clarity and a more stable regulatory environment.
