Democratic staffers in the U.S. House Financial Services Committee have publicly criticized the U.S. Securities and Exchange Commission (SEC) for an apparent breach of established protocol regarding a new cryptocurrency market structure bill. According to a report by Decrypt, the SEC has allegedly withheld crucial written analyses from Democratic lawmakers, while reportedly sharing similar information with Republican members in private sessions. This divergence from the norm raises concerns about transparency and equitable access to information during legislative review.
Typically, the SEC provides technical assistance (TA) to congressional members when legislation affecting its regulatory framework is under consideration. This assistance, delivered by nonpartisan SEC experts, is designed to clarify the bill’s potential impact on both the agency and broader financial markets. The refusal to extend this support to all parties undermines the legislative process and could affect the informed evaluation of the proposed crypto regulations.
Such developments highlight ongoing tensions between regulatory bodies and lawmakers amid the evolving landscape of cryptocurrency oversight. Ensuring balanced and comprehensive access to regulatory insights remains critical for crafting effective and fair market policies.