Crypto leaders from Coinbase and Ripple are backing Elon Musk’s DOGE initiative, calling for SEC reform to curb regulatory overreach and protect blockchain innovation.
DOGE Initiative Calls for SEC Oversight Review
Elon Musk’s Department of Government Efficiency (DOGE) is seeking public input on inefficiencies within U.S. federal agencies, with a specific focus on the Securities and Exchange Commission (SEC). On February 17, DOGE’s SEC audit account posted on social media platform X, urging individuals to share insights on waste, fraud, and abuse at the agency.
This request has sparked a wave of responses from cryptocurrency industry leaders who have long criticized the SEC’s approach to digital asset regulation.
Coinbase and Ripple Call for Major Changes
In response to DOGE’s initiative, key figures from Coinbase and Ripple have put forward suggestions aimed at curbing what they see as regulatory overreach.
Paul Grewal, Chief Legal Officer at Coinbase, proposed a new policy that would require the SEC to reimburse legal costs for defendants who successfully challenge its lawsuits. He argued that excessive litigation by the SEC has become a financial burden on companies and stifles blockchain innovation.
Ripple’s Chief Legal Officer, Stuart Alderoty, also weighed in, criticizing the SEC’s habit of filing enforcement actions after the Department of Justice (DOJ) has already prosecuted financial crimes. He labeled these actions as redundant and suggested that the SEC should focus on its core mission rather than seeking headlines through high-profile cases.
Implications for the Crypto Industry and Crypto Leaders
DOGE’s scrutiny of the SEC comes at a time when crypto regulation remains a highly debated issue in Washington. Advocates argue that unclear regulatory guidelines have driven innovation overseas and created an unstable environment for digital asset businesses in the U.S.
By opening a dialogue on SEC efficiency, DOGE’s initiative has sparked renewed discussions about how digital asset markets should be regulated. With support from major crypto firms, this movement could influence future policy decisions and reshape the SEC’s role in overseeing the industry.
Stay updated on cryptocurrency regulations and join public discussions to help shape the future of digital asset oversight in the U.S.
