Jesse Powell, co-founder of Kraken, has accused the US SEC of violating the cryptocurrency exchange’s regulations and has vowed to retaliate.
Angrily, Kraken co-founder Jesse Powell responded to the lawsuit filed against the cryptocurrency exchange Kraken by the U.S. Securities and Exchange Commission (SEC).
He accuses Gary Gensler, chairman of the SEC, of being a “masochist” and the securities regulator SEC of “decelerating” technological progress in the United States. This time around, Jesse Powell intends to defend against the SEC.
Co-founder of Kraken Slams The SEC
On November 21, Jesse Powell addressed X regarding the SEC litigation against Kraken. He believed that their February $30 million settlement resolved all SEC concerns, but the SEC continued to pursue them.
“The leading decelerant in the United States has returned with another assault on America.” “Dissatisfied with the beatings they’ve received in New York, the masochists are searching for a different flavor of RegDom in California,” Powell stated.
By announcing his intention to defend this time, Jesse Powell halted the SEC’s illogical enforcement actions against the cryptocurrency industry. He stated, “Approximately ten months pass before the SEC attempts to extort you once more with $30 million.” Cryptocurrency firms that cannot afford to give the SEC more than $100 million must remove their enterprises from the United States.
According to the SEC, Kraken is allegedly the operator of an unregistered national securities exchange, merchant, and clearing house. Kraken rejects the SEC’s assertions and is now preparing a robust defense.
“Nonpartisan Congressional action is the most effective path forward to avoid the U.S. litigating its way to the back of the line as crypto rule making advances around the world.”
The SEC Continues to Lose Lawsuits
Federal judges have characterized the SEC’s actions against the cryptocurrency industry as capricious and arbitrary. A further criticism leveled against the SEC is its hypocrisy.
In the end, the justices sided with Ripple Labs and Grayscale, ruling that the SEC’s arguments were irrational and, therefore, losing the case. Jesse Powell has made it plain that he intends to defeat the SEC in his current confrontation.
