Brad Garlinghouse Calls Out Gary Gensler!• December 21, 2022 11:16 am • Comments
This is not the first time troubling connections between Gensler and FTX have been noted…
In response to this, Ripple’s C.E.O., Brad Garlinghouse, called out the obvious preferential treatment by Gensler and the regulatory agency in a recent tweet:
It’s ridiculous and frankly shameful that Chair Gensler was touting the SEC’s enforcement actions as the “cop on the beat,” yet (per public reports) MET with SBF multiple times, but was caught completely flat-footed when the alleged fraud finally came to light. https://t.co/Qq8kPvXcvz
— Brad Garlinghouse (@bgarlinghouse) December 20, 2022
Most seemed to agree that Gary Gensler’s relationship with Sam Bankman-Fried and FTX was highly inappropriate and many pointed to the many connections between Gensler and FTX.
The former FTX CEO used to date Alameda Research CEO Caroline Ellison. Ellison’s father, Glenn Ellison, was U.S. Securities and Exchange chair Gary Gensler’s boss when Gensler taught a course on Bitcoin at MIT. Bankman-Fried, also known as SBF, graduated from MIT in 2014
— Michael Savage (@ASavageNation) December 16, 2022
According to Daily Hodl:
The SEC sued Ripple in late 2020 under allegations that the firm sold XRP as an unregistered security, but the regulator did not launch any investigation into FTX prior to its multi-billion dollar collapse.
According to pro-XRP attorney John E. Deaton, the SEC’s enforcement actions may have punished firms that were skirting regulations, but failed to set any precedents or guidelines.
The more that comes out about history of Gary Gensler's relationship with and advocacy for FTX throughout 2022 the more infuriating it becomes… Even if FTX was a good actor it would have been shady. That it was a bad actor is hugely scandalous.
Gensler has a lot to answer for.
— Event Driven (@EventDrivenMgr) December 20, 2022
Remember that movie 21 where the MIT professor (Kevin Spacey) took students to Vegas and beat casinos for millions
The FTX drama is another MIT Professor (Gary Gensler) protecting MIT students (SBF + Caroline) who beat the shitcoin casino and made billions pic.twitter.com/wg33Q03GiQ
— No 🔑 No 🧀 (@bitcoinzay) December 13, 2022
The Wall Street Journal opinion piece that Garlinghouse was referencing opened up with this:
Securities and Exchange Commission Chairman Gary Gensler is trying to spin the FTX blow-up as a cautionary tale about the crypto “wild West.” But where was the SEC sheriff when Sam Bankman-Fried was funneling FTX customers’ funds to his Alameda Research trading house to finance risky bets and a lavish lifestyle?
“We have robust authorities at the Securities and Exchange Commission and we’re going to use them,” he told the Washington Post. “We’ll also be the cop on the beat, bringing those enforcement actions.” And the commission has—but not against FTX.
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