coinedition.com
In a series of heated Twitter threads, lawyer and Blockchain Association’s Head of Policy Jake Chervinsky demanded to know “how many whistleblower complaints were filed with the SEC tipping them off to FTX‘s fraud.” He criticized SEC’s blatant disregard for lodged complaints “before FTX met with Chair Gensler to discuss a sweetheart deal.”
I want to know how many whistleblower complaints were filed with the SEC tipping them off to FTX's fraud.
— Jake Chervinsky (@jchervinsky) November 15, 2022
I want to know how many were filed before FTX met with Chair Gensler's office to talk about a sweetheart deal.
I want to know why our "cop on the beat" was blind to this.
As a result, Chervinsky stated that the crypto community and industry urged the SEC to focus its efforts on suspects, ‘to go after the frauds and scammers.” Instead, SEC concentrated on harassing good-faith US companies with repeated inquiries and unnecessary enforcement and regulation.
Chervinsky called out SEC on their sheer failure to conduct a thorough investigation into the debacle done by FTX and Alameda where millions of dollars worth of assets were compromised and lost by investors. The lawyer hinted at DC to take notice of their actions by saying:
We’re going to hear a lot of tough talk from the SEC now about how FTX’s fraud means they should get *more* authority and resources to police crypto. I hope folks in DC see this for what it is, a distraction from the SEC’s failure to do the job. Why throw good money after bad?
We’ve long desired a capable “cop on the beat.” According to him, the crypto community despises cryptocurrency scammers. Nobody, who genuinely cares about this technology, this sector, or this society wants to see it misused by criminals. However, he is disappointed by the present SEC leadership’s ineffectiveness and said that the “current SEC leadership has proven incapable. I want to know why.”
A twitter user named TrueFish -Truesalmon1 agreed with Chervinsky and said, “We want to know many things.” Similarly, another user deathdisco shared his views, “I’ve been saying all along – there was never a game to play with the government. They’re not our friends, they’re not on our side, and they never were. You’d have to be insanely complacent at this point to think Gensler was not deeply complicit.”
The crypto community continues to wait on answers regarding the security of their assets, as the FTX debacle investigation still continues to reap no results.