Former U.S. Representative Patrick McHenry revealed that ex-SEC Chair Gary Gensler held a more favorable view of cryptocurrencies in private than his public actions. McHenry, who had a private meeting with Gensler, asserted that the former regulator was not “as anti-crypto in private as he appeared in public. No… Nope.”
McHenry noted Gensler recognized the value of digital assets and blockchain technology, citing his time at MIT, where he taught fintech and contributed to the concept of crypto airdrops, per Sei Labs’ General Counsel Gerald Gallagher.
However, as SEC Chair from 2021 to January 2025, Gensler oversaw over 100 regulatory actions against crypto firms like Coinbase, Binance, and Kraken, earning widespread industry backlash as he accused them of breaking rules, ignoring security laws, and committing fraud. He prioritized safeguarding those who made investments in cryptocurrency.
Hence, Gensler kept telling crypto firms to register with the SEC, as the crypto world is full of scams and risks. In private talks about crypto rules, Gensler would start off seeming reasonable, but then he would say things that didn’t make sense or contradicted what he had just agreed to.
In a recent X post, McHenry stated that Gensler seemed to like crypto in private but acted against it in public. This disparity may be due to political pressures.
This difference makes people question why he was so tough on crypto. He further stated that he was surprised by how tough Gensler was on crypto as SEC Chair, admitting he didn’t expect him to be so aggressive and was disappointed by his actions.
This initiative he took highlighted him as harsh for the cryptocurrency world. The crypto industry was very upset with Gary Gensler’s actions and rules against crypto as SEC Chair. In December 2024, Coinbase’s boss, Brian Armstrong, said that his company would stop working with law firms that hired ex-SEC officials.
He believed that they were trying to destroy the crypto industry unfairly. This year, in January 2025, another crypto company, Gemini, stated that the firm wouldn’t hire anyone from MIT unless the school fires Gensler, who started teaching fintech and AI there after leaving the SEC.
However, the crypto industry is still struggling with unclear rules and wants better regulations that support new ideas while keeping investors safe.
