SEC Chair Violates Protocol on Kim Kardashian Settlement
Categories: Crypto News
SEC Chair Violates Protocol on KimKardashian Settlement
The USSecurities and Exchange Commission (SEC) recently accused fashion celebrityKim Kardashian of promoting crypto asset security. However, it is now allegedthat Gary Gensler, SEC chairman, violated protocol on Kardashian's settlement.
SEC chairviolated conduct?
SECEnforcement staff recently accused the SEC chair of breach of conduct bydefrauding him of $1.26 million. He mentioned that Gensler appeared on a newsmedia channel shortly after the matter was announced. The employees are nothappy with this and called it a publicity stunt.
The move wastaken to polish his reputation for being named as Treasury Secretary. It isalleged that the SEC chairman secretly went as far as to contact thenews media to take credit alone. The report claimed that the SEC chairman madea video on the settlement without informing anyone.
This is anunusual move by the chief as he usually allows employees to take credit forsuch actions. Whereas it prompts them to pursue broader issues further. This isthe latest fight between the SEC chair and the Department of Enforcement.Such moves result in the loss of lawyers.However, there are many complaintsagainst Gensler's management style and workload as the SEC is venturing intounconventional areas.
Watchdogpioneering new legend?
Earlier, reportedthat attorney John Deaton, amicus curiae, used the SEC chairman's new approachto digital assets in the XRP lawsuit. He mentioned how the commission haslabeled the term 'crypto asset security'.
Deatonbelieves this is a part of controlling the narrative. According to the lawyerfor XRP holders, the SEC is no longer calling it a 'digital assetsecurity'. The same term was used in the Ripple and LBRY cases. However,according to the complaint, Kardashian failed to disclose the payment receivedto promote the token.