SEC Commissioner Crenshaw Criticizes Agency’s Crypto Regulatory Approach as ’Playing Regulatory Jenga’

SEC Commissioner Caroline Crenshaw, the sole Democratic member of the regulatory body, has issued a stark warning about the agency’s evolving stance on cryptocurrency oversight. Speaking at the SEC Speaks event, Crenshaw likened the current regulatory framework to a precarious game of Jenga, where the removal of foundational rules could destabilize decades of carefully constructed investor protections.

The commissioner highlighted growing concerns about market volatility and emerging risks in digital asset markets, juxtaposed against increasing calls for deregulation. Her remarks underscore the tension between maintaining robust oversight and adapting to the fast-evolving crypto landscape.

This critique comes as the SEC faces mounting pressure to clarify its position on various digital assets, with significant implications for market participants across the cryptocurrency ecosystem.