SEC Senior Member Departs As Agency Faces Continued Scrutiny

A senior member of the United States Securities and Exchange Commission (SEC), specifically within the digital assets department, announced his departure last Friday after nine years of service.The move comesa as many both within and outside the regulatory agency have become fed up with Chairman Gary Gensler and his seemingly endless vendetta against crypto and innovation.

TIme For A Change

David Hirsch, who previously headed the SEC Crypto Asset and Cyber Unit within the Division of Enforcement, shared on LinkedIn that Friday marked his final day at the SEC. He assumed leadership of the unit in October 2022, amidst significant upheavals in the crypto market following high-profile incidents, including the collapse of FTX. Hirsch began his tenure at the SEC in 2015 as an enforcement attorney based in Fort Worth, Texas.

In his post, Hirsch expressed enthusiasm about forthcoming challenges but did not disclose specific plans. He mentioned he will be sharing further details after taking a break and spending personal time with his family. Hirsch acknowledged the accomplishments of the Crypto Assets and Cyber Unit team under his leadership, emphasizing that securities enforcement is a collaborative effort.

SEC In Hot Water

During his time at the SEC, David pursued a vigorous campaign of enforcement actions in response to major collapses in the crypto sector, targeting companies like Terraform Labs and exchanges accused of violating securities laws.

Despite ongoing legal actions, including lawsuits against Coinbase and Binance, initiated during his tenure, Hirsch highlighted the progress made by the SEC in regulating the crypto market. His departure coincides with increasing political attention to crypto issues, which have emerged as a focal point in electoral campaigns.

Elsewhere, former President Donald Trump previously criticized the SEC and its hyper-aggressive stance on crypto, citing it as a key factor in stifling local crypto activities and pushing away capable individuals and successful businesses.