US Legislators Submit Proposal to Fire Gary Gensler

U.S. Rep. Warren Davidson put forth the SEC Stabilization Act to the House of Representatives on June 12, aiming to oust SEC Chair, Gary Gensler. 

Davidson argued that the U.S. capital markets require protection from an overreaching Chairman. He announced, “I'm introducing legislation to remedy the continuous misuse of power. it’s time to dismiss Gary Gensler as Chair of the SEC.

Davidson initially unveiled plans to present the bill earlier this year in response to Coinbase's legal head, Paul Grewal's tweet. Rep. Tom Emmer co-authored the bill, stating it would ensure SEC's alignment with investors' interests rather than its Chair's recklessness.

Per Fox News, the legislation proposes to discharge Gensler, distribute power among SEC chair and commissioners, include an additional commissioner to the team, forbid party majority in the commission, and establish an executive director role.

Although the crypto sector wasn't directly addressed, both Davidson and Emmer are recognized as pro-crypto and critical of Gensler's SEC governance. Emmer branded Gensler as a "dishonest regulator", while Davidson serves as vice chair of the House Financial Services Committee’s new Subcommittee on Digital Assets, Financial Technology, and Inclusion.