Davidson was joined by another crypto-friendly congressman Tom Emmer in creating the legislation.
Crypto-friendly congressman Warren Davidson has filed a new bill called the “SEC Stabilization Act”. According to Davidson, the bill seeks to reform the SEC and rid it of its “tyrannical Chairman” Gary Gensler. His Twitter announcement reads:
“Today I filed the SEC Stabilization Act to restructure the SEC and fire Gary Gensler.”
In another statement, Davidson disclosed that the bill ultimately aims to protect the US capital markets. However, he also submitted that this aim can only be achieved by fixing the ongoing abuse of power in the agency.
Meanwhile, it is worth mentioning that Davidson was joined by another crypto-friendly congressman Tom Emmer in creating the legislation. Emmer, who is the House Majority Whip has been quite openly critical of Gensler. He has said repeatedly that Gensler is incapable of governing the crypto market and that his methods suppress innovation.
About the new bill, however, Emmer said that the Stabilization Act will only help the SEC to get its priorities right. He explained further, saying that the agency’s priority should be on investor protection and not to fan the ego of its Chair.
SEC Chairman Gary Gensler Under Fire from All Sides, May Lose His Job
For what it’s worth, grievances expressed by Emmer and Davidson in the new bill appear to be a popular opinion. The crypto industry, for instance, has said similar things.
Recall that Coinbase recently said that SEC does not care about creating clear rules for digital assets. The exchange said that SEC was only interested in carrying out enforcement actions. Similarly, Binance.US accused the Gensler-led agency on Thursday, of using fear tactics to war on the American digital asset industry.
Perhaps the most interesting Gensler criticism came from within his agency. SEC Commissioner Hester Peirce also disagrees with the commission’s attempt to regulate crypto using existing financial industry rules.
According to Fox News, Davidson and Emmer are seeking to remove Gensler from office. But also, their bill will seek to restructure the agency by redistributing power between the SEC chair and commissioners. Also, it would add a sixth commissioner to the agency, and ensure that no party holds a majority on the commission. Lastly, the bill will also create an executive director position.