The US Securities and Exchange Commission (SEC) has reassigned its top crypto litigator, Jorge Tenreiro, to an unspecified position in the IT Department, signaling a significant shift in its approach towards the cryptocurrency industry. This move comes as the commission is downsizing its crypto enforcement unit, reassigning over 50 lawyers and staff.
The decision marks a departure from the aggressive stance taken by former Chair Gary Gensler, who increased the SEC’s legal battles against the crypto industry. In contrast, the new approach prioritizes delegating certain enforcement functions away from SEC jurisdiction, as outlined by Commissioner Hester Peirce.
This change may appear bullish for the crypto industry, but experts warn that it could be an act of humiliation, encouraging Tenreiro to resign. The SEC’s reorientation comes as the commission has removed its lawsuit against Ripple Labs and hinted at dropping other cases.
The shift in strategy is attributed to changing circumstances, including Donald Trump’s re-election. Commissioner Peirce detailed the new Crypto Task Force, which will prioritize investor protection over regulatory hurdles. While this move may alleviate concerns for investors, it raises questions about the SEC’s future enforcement posture towards the crypto industry.
Source: https://beincrypto.com/sec-reassigns-litigator-from-ripple-xrp-lawsuit