Consumer Action for a Strong Economy (CASE), a business advocacy group, has launched a six-figure advertising campaign aimed at removing Securities and Exchange Commission (SEC) Chairman Gary Gensler.
Gensler is a former employee of Goldman Sachs and has been a federal appointee in the Biden, Obama and Clinton administrations.
The campaign, titled “Goodbye Gary,” criticizes Gensler’s leadership of the SEC, accusing him of weakening the agency, wasting taxpayer funds on unsuccessful lawsuits and harming the U.S.'s competitive edge in innovation, particularly in the crypto sector.
Gerard Scimeca, Chairman and General Counsel of CASE, has sharply criticized Gensler.
“For several years, I mean, going back to almost the beginning of his tenure, it’s been an absolute disaster,” Scimeca told Federal Newswire. “This was a guy who wanted to instigate a rule where companies would have to put climate change estimates on their financial statements. That, thankfully, went by the wayside, but it’s clear—his business-unfriendly policies have a knack for throttling innovation, investment and economic growth.”
The ads, which are running on TV, radio, and digital platforms, call for a change in leadership at the SEC, citing Gensler’s controversial handling of crypto regulations, his strained relationships within the agency and concerns over his interactions with disgraced FTX founder Sam Bankman-Fried.
With President-elect Donald Trump taking office in January 2025, Gensler’s future at the SEC is increasingly uncertain. In an apparent nod to the inevitable, Gensler recently gave a speech acknowledging his time at the SEC at the Practising Law Institute’s 56th annual conference held Nov. 13-15.
CNBC reported that while Gensler did not explicitly announce his resignation, his remarks carried a tone of farewell, expressing pride in his service to the SEC and its mission to protect investors.
“We're trying to invite him out the door and maybe get a singer and carolers or a chorus of people to join us, and that there's certainly no lack of sentiment towards wanting him to leave,” Scimeca said.
Scimeca also took aim at Gensler’s handling of the crypto industry, calling it a prime example of regulatory overreach.
“His job is supposed to be protecting investors, but all he does is go after investors,” Scimeca said. “He goes after companies, he bankrupts them, and he drags them into court. He wastes millions and millions of taxpayer dollars while devaluing valuable companies. This is a time when blockchain technology, much like the Internet in the 90s, is revolutionary. We should be facilitating it, but instead, Gensler’s doing the opposite.”
Gensler has faced a string of court losses in his enforcement of crypto regulations, weakening the agency's credibility.
Recent setbacks include a failed attempt to block Grayscale's bitcoin trust from converting into an ETF and a significant loss in the Ripple case, which challenged the SEC's claim that most cryptocurrencies are securities.
These defeats suggest the SEC's legal arguments may be flawed, prompting industry advocates to call for legislative updates.
As the SEC prepares for major cases against Binance and Coinbase, its recent struggles have raised doubts about its ability to dominate the crypto enforcement landscape.
Scimeca highlighted the SEC’s contentious stance on crypto regulation, particularly in relation to Ripple Labs Inc.’s legal battle.
The SEC recently filed an appeal following a court ruling that required Ripple Labs Inc. to pay a $125 million civil penalty for the improper sale of its XRP token.
This amount is significantly lower than the $2 billion in penalties the regulator had originally sought during its prolonged legal dispute with the cryptocurrency firm.
“The courts have made it clear—Ripple’s token is not a security,” Scimeca said. “But instead of accepting the ruling, Gensler and the SEC continue to drag their feet, blocking the establishment of spot exchanges. We have big investment houses ready to move forward, but Gensler is standing in the way. Whatever he can do to hurt investment and slow the market down, he’s doing.”
Gensler is also facing scrutiny over his connections to Bankman-Fried, the former CEO of FTX, whose cryptocurrency exchange collapsed in late 2022 amid allegations of fraud and mismanagement.
In June 2023, New York Post reported that Gensler had met with Bankman-Fried—a mega-donor to Democrtats—in March 2022, raising questions about whether the meeting was properly vetted by the SEC’s ethics team.
A subsequent Freedom of Information Act (FOIA) request revealed that no records exist showing Gensler sought approval from the SEC’s ethics office, potentially violating internal protocols.
The meeting, arranged by FTX lobbyist Mark Wetjen—Gensler’s former colleague at the Commodity Futures Trading Commission (CFTC)—has raised concerns about conflicts of interest. Critics, including lawmakers and ethics experts, argue that it was poor judgment for Gensler to meet with Bankman-Fried, particularly given the lack of transparency surrounding FTX at the time.
The fact that the meeting was unusually lengthy has further fueled suspicion about the nature of the discussions, especially as FTX was still relatively unknown in the crypto space.
Both Democratic and Republican lawmakers have called for more information about Gensler’s interactions with Bankman-Fried, as well as the SEC’s oversight of the crypto exchange. Scimeca expressed frustration with Gensler’s failure to address the situation regarding Bankman-Fried, which he argues represents a glaring failure of regulatory oversight.
“The guy’s a fraudster, plain and simple. And what does Gensler do?” Scimeca said. “He has meetings with Bankman-Fried and other key players in the crypto space, but we still don’t know what happened in those meetings. Gensler’s been a part of the problem, not the solution. We need transparency. The public deserves to know what was discussed, what deals were made behind closed doors.”
While Scimeca emphasized that his concerns are rooted in economic policy, he did not shy away from sharing his views about the broader pattern of mismanagement under Gensler’s leadership.
“This isn’t just a political issue—it’s a government issue,” he said. “Gensler has a powerful government agency, and he’s using it to stifle growth at a time when the economy is struggling. It’s malfeasance, pure and simple. He’s hurting banks, investors, and industries across the board.”
Scimeca also pointed to the growing success of smaller countries, like Estonia, which have created welcoming environments for blockchain and crypto innovation.
“Other countries are moving ahead, establishing frameworks that attract blockchain investment,” he said. “Meanwhile, the United States is stuck in neutral, all because of Gensler’s hostility toward this new technology.”
Scimeca made it clear that Gensler’s policies are not just an impediment to the crypto industry, but a broader threat to U.S. leadership in emerging technologies.
“How are we supposed to excel in this market if we have leaders who are openly hostile to American businesses?” he said. “There’s no rhyme or reason to Gensler’s actions. He’s been repeatedly rejected by the courts, and yet he continues to push forward with these destructive policies.”
Scimeca added that a change in leadership would be critical for the future of American innovation.
“We’re doing everything we can to push him out,” Scimeca said. “We need a clean break, a new team that’s pro-American, pro-investment, and pro-economic growth. It’s an opportunity for a fresh start.”
Scimeca was also quick to dismiss any notion that this is a partisan issue.
“This is not about politics—it’s about economic reality,” he said. “There are plenty of Democrats in Congress who are pro-investment, pro-blockchain, and even they are disappointed with Gensler. The fact that he’s alienating even his own side tells you everything you need to know.”
