SBF Alleges SEC’s Gensler and Sen. Warren Sought to Undermine CFTC’s Crypto Oversight

Sam Bankman-Fried has accused former SEC Chair Gary Gensler and Senator Elizabeth Warren of orchestrating a behind-the-scenes campaign to strip the CFTC of its cryptocurrency regulatory authority. The allegations surfaced following a memorandum of understanding between the two agencies, with SBF claiming Gensler sought to consolidate power under the SEC while blocking license approvals.

The SEC and CFTC have been locked in a jurisdictional tug-of-war over digital assets, with Gensler and Warren advocating for expanded SEC oversight. In 2021 correspondence, Warren explicitly questioned whether the SEC required additional congressional authority to regulate crypto exchanges—a proposition Gensler enthusiastically endorsed.

This regulatory power struggle continues as both agencies pursue enforcement actions, creating uncertainty for market participants. The CFTC maintains active investigations into digital asset violations despite the SEC's push for dominance in the space.